Relationship between Life Expectancy, GDP, and Public Health Expenditure in Bangladesh from 1974 to 2019: A Vector Autoregressive (VAR) Model
Description
Bangladesh has reached various noteworthy improvements in the economic, health, and social sector over the past decades, such as increasing economic growth, improving life expectancy, investing in health care expenditure. Our study examines the relationship between life expectancy at birth (LEB), per capita gross domestic product (GDP), and per capita public health expenditure (PHE) in Bangladesh during the period 1974 to 2019. We obtain data from World Bank Indicators (WDI) and Bangladesh Bureau of Statistics (BBS). To investigate this relationship, we employ a Vector Autoregressive (VAR) model. We find that there is bidirectional causality between LEB and GDP in Bangladesh. However, we find that there is unidirectional causality from LEB and GDP to PHE in Bangladesh. Our findings recommend that as Bangladesh is improving economically, it has become essential to invest more in public health expenditure that would ultimately increase life expectancy in the country.
Relationship between Life Expectancy, GDP, and Public Health Expenditure in Bangladesh from 1974 to 2019: A Vector Autoregressive (VAR) Model
Bangladesh has reached various noteworthy improvements in the economic, health, and social sector over the past decades, such as increasing economic growth, improving life expectancy, investing in health care expenditure. Our study examines the relationship between life expectancy at birth (LEB), per capita gross domestic product (GDP), and per capita public health expenditure (PHE) in Bangladesh during the period 1974 to 2019. We obtain data from World Bank Indicators (WDI) and Bangladesh Bureau of Statistics (BBS). To investigate this relationship, we employ a Vector Autoregressive (VAR) model. We find that there is bidirectional causality between LEB and GDP in Bangladesh. However, we find that there is unidirectional causality from LEB and GDP to PHE in Bangladesh. Our findings recommend that as Bangladesh is improving economically, it has become essential to invest more in public health expenditure that would ultimately increase life expectancy in the country.