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The Palestinian Economy. Theoretical and Practical Challenges

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Proceedings “<strong>The</strong> <strong>Palestinian</strong> <strong>Economy</strong>: <strong>The</strong>oretical <strong>and</strong> <strong>Practical</strong> <strong>Challenges</strong>” 371<br />

quintile is twice the public admission probability in the two regions. <strong>The</strong> estimated CIs<br />

for each type of admission confirm the above patterns: for all types of admissions, except<br />

public-admissions, indices are significantly positive [CI 0 at p < 0.05], suggesting<br />

inequalities favouring the rich in the probability of utilisation of secondary (inpatient)<br />

care in both private <strong>and</strong> NGOs sectors <strong>and</strong> in the two regions. By contrast, the CI’s of<br />

public-admission in the two regions are positive <strong>and</strong> significantly different from zero [CI<br />

0 at p < 0.05], suggesting inequality in admission to public sector favouring the poor.<br />

Turning, lastly, to tertiary-level, significant pro-rich inequalities are detected in both<br />

regions: results clearly show that the probabilities of utilisation of tertiary-care are higher<br />

in the higher-income quintiles – as demonstrated by the positive gradients by quintile –<br />

<strong>and</strong> the significantly positive values of CI at p < 0.05. Lastly, no significant differences<br />

are found in the pro-rich patterns of utilisation of tertiary-level between the two regions:<br />

the CI of tertiary care in the WB [CI = 0.761] is only slightly higher than that of the<br />

tertiary care in GS [CI = 0.676].<br />

<strong>The</strong> results presented above are all based on the actual distribution of health care<br />

utilisation (the probability of any use). <strong>The</strong> reported CIs summarise, therefore, the degree<br />

to which there is inequality (in the probability of use) with respect to income. <strong>The</strong> degree<br />

of inequalities detected in the distribution of each level of health care may, however,<br />

reflect differences in need by income – i.e., justifiable inequalities –, <strong>and</strong> therefore, can<br />

not be interpreted as inequitable. In the following sub-Section, the overall income relatedinequality<br />

for the total number of visits are measured <strong>and</strong> fully decomposed following the<br />

methods described in Section 3.2.<br />

4.2. Decomposition Results<br />

<strong>The</strong> full decomposition results based on microsimulation exercise are presented in Table<br />

4.1 <strong>The</strong> overall measured inequality in the utilisation of different levels of health care<br />

(called I y ) is split, first, as per the identity defined in Eq. (20), into two broad categories<br />

of inequality: the first measures the contributions of need factors (as captured by<br />

morbidity <strong>and</strong> demographic indicators) – i.e., the justifiable part of inequality – (called<br />

I N ), <strong>and</strong> the second measures the contribution of other non-need factors – i.e., the<br />

unjustifiable part of inequality – (called I NN ). <strong>The</strong> latter, which also provides us with a<br />

measure of the HI, is, then, disentangled, as per Eq. (23) <strong>and</strong> (24), in terms of two<br />

meaningful parts: (a) the part of inequity due to the (unequal) distributions of socioeconomic<br />

variables by income (called I V ), <strong>and</strong> (b) the part of inequity due to heterogeneity

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