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The Effect of Health Care Expenditure on Income Inequality

의료비 지출이 소득불평등에 미치는 영향

  • Song, Eun-Cheol (Department of Preventive Medicine, Hanyang University College of Medicine) ;
  • Kim, Chang-Yup (School of Public Health, Seoul National University) ;
  • Shin, Young-Jeon (Department of Preventive Medicine, Hanyang University College of Medicine)
  • 송은철 (한양대학교 의과대학 예방의학교실) ;
  • 김창엽 (서울대학교 보건대학원) ;
  • 신영전 (한양대학교 의과대학 예방의학교실)
  • Received : 2010.07.02
  • Accepted : 2010.08.09
  • Published : 2010.09.30

Abstract

The degree of income inequality deepened by health care expenditure was useful in assessing the health security level. This exploratory study was conducted to provide a basic evidence to prove the necessity of reinforcement the benefit coverage of South Korea's health security systems. Data from the Household Income and Expenditure Survey of Korea and Luxembourg Income Study were used. Income inequality indices before and after deduction of health care expenditure were computed, and the degree of the increase in the indices was compared among 13 countries. The degree of decrease against the effect of income inequality reduction policies by health care expenditure was determined. The relationships between the national characteristics and the increase in income inequality were examined. In South Korea, all income inequality indices increased after deducting health care expenditure, but the difference was not high compared to the mean of 13 countries. However, the degree of decrease against the effect of income inequality reduction policies by health care expenditure was high, compared to the mean of 13 countries. The proportion of public sector spending on health care proved to be statistically significant with the increase of income inequality indices (p<0.05). In the context of the continuous increase in health care expenditure, if benefit coverage of health security systems is not reinforced, income inequality will all the more increase due to health care expenditure. In the establishment of the policies for reinforcement of the benefit coverage, income inequality after deduction of health care expenditure should be continuously monitored.

Keywords

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