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Chapter 2

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Figure 1 – Health expenditure as a percentage of GDP (2004)<br />

20,0<br />

15,3<br />

* 2003<br />

** Forecast<br />

15,0<br />

% GDP, 2004 % shift of GDP, 1990-2004<br />

11,6<br />

10,9<br />

10,5<br />

10,2<br />

10,1<br />

10,0<br />

10,0<br />

9,9<br />

9,7<br />

9,6<br />

9,2<br />

9,2<br />

9,1<br />

8,9<br />

8,4<br />

8,4<br />

8,3<br />

8,3<br />

8,1<br />

8,0<br />

8,0<br />

7,7<br />

7,5<br />

7,3<br />

7,1<br />

6,5<br />

6,5<br />

5,9<br />

5,6<br />

10,0<br />

Source: OECD Health Data 2006, June 2006<br />

5,0<br />

0,0<br />

8 See Mennini and Francia (2003); OECD (2004b).<br />

United States<br />

Switzerland**<br />

Germany*<br />

France**<br />

Iceland**<br />

Belgium*<br />

Greece**<br />

Portugal**<br />

Canada**<br />

Norway<br />

Austria<br />

Australia*<br />

Netherlands**<br />

Sweden**<br />

Denmark**<br />

Italy<br />

New Zeland<br />

United Kingdom<br />

Hungary**<br />

Spain**<br />

Japan* , **<br />

Luxembourg**<br />

Turkey<br />

Finland<br />

Czech Rep.**<br />

Ireland<br />

Mexico<br />

Poland<br />

Slovakia*<br />

Korea<br />

-1,0 0,0 1,0 2,0 3,0 4,0<br />

% GDP Rate points<br />

[43]<br />

0,8<br />

0,6<br />

0,7<br />

0,9<br />

1,2<br />

1,7<br />

1,5<br />

1,5<br />

2,4<br />

2,1<br />

2,3<br />

2,0<br />

2,3<br />

1,6<br />

2,1<br />

butable to their level of economic development. The positive relationship between per<br />

capita income and health expenditure per capita was confirmed and reinforced in 2004<br />

(R 2 =0,7826 in 2004 vs. R 2 =0,6723 in 2003) as it is illustrated in Figure 3. Income certainly<br />

constitutes a decisive factor for the growth of health expenditure in the OECD. However,<br />

there is no single or most appropriate level of expenditure that can be used as a single<br />

measure for all countries. While the richer countries tend to spend more resources on<br />

health, there is considerable variation among countries with comparable levels of income.<br />

This variation suggests that the expenditure-income relationship is weaker for rich<br />

countries. Other factors, including policy decisions regarding the organization of the<br />

system and regulatory aspects can be important determinants through their impact on<br />

health expenditure 8 .<br />

Italy, like the other advanced EU countries, shows a positive relationship between per<br />

-0,3<br />

1,0<br />

1,7<br />

1,6<br />

1,2<br />

2,6<br />

2,6<br />

2,6<br />

2,6<br />

2,9<br />

CEIS Health Report 2006<br />

3,4<br />

3,3<br />

3,8<br />

4,1

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