📄 Abstract
Background: Public health expenditure plays an important role in facilitating health infrastructure and improving health outcome in India. Despite several policy initiatives, significant interstate variation continues to persist in public health expenditure across Indian states. Against this backdrop, the present study examines the determinants of public health expenditure (PHE) in Indian states using panel data econometric techniques. The study analysis the influence of economic, demographic and political factors on percapita public health expenditure over time. Data and methodology: To understand the determinants of PHE, the study make use of the panel data models including pooled OLS, fixed effect and random effect. Hausman test is used to understand the effective model. The variables included in the analysis are Gross state domestic product (GSDP), population ageing, Effective number of political parties (ENPP), Electoral turnout and total government expenditure. Findings: The findings reveals that the GSDP, Population Ageing, and Electoral turnout determines PHE in Indian states, while ENPP or political fragmentation negatively affects PHE. Total government expenditure found to be insignificant across fixed effect and random effect models. The Hausman test confirmed the Fixed effect model is the most appropriate model specification for the analysis.
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📚 How to Cite:
Aswathy M A , UNDERSTANDING THE DETERMINANTS OF PUBLIC HEALTHCARE EXPENDITURE IN INDIAN STATES , Volume 11 , Issue 6, June 2026, EPRA International Journal of Research & Development (IJRD) , Pages: 13 - 17 , DOI: https://doi.org/10.36713/epra28228