How political ideology of government affects health system efficiency. Evidence from parliamentary democracies
by Nino Kokashvili; Youjun Shin
International Journal of Public Policy (IJPP), Vol. 15, No. 5/6, 2020

Abstract: What role does the government ideological composition play in health policy formation and outcomes? According to the conventional view, left-oriented governments are more likely to increase health spending. However, the impact of government ideology on health policy payoff is still a question for discussion. This paper examines how the ideological differences of ruling parties influence the efficiency of health systems. We use four stage data envelopment analysis (DEA), a non-parametric approach, to measure the health efficiency of 31 OECD countries for the period of 2001-2016. Based on the results from a panel tobit regression model, we show that while left-wing governments tend to increase public health spending, the efficiency of health systems is higher under ideologically balanced and/or right-wing governments.

Online publication date: Fri, 19-Mar-2021

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