************************************************************************************************** *** This do file creates the replication results for *** Health Spending, Out-of-Pocket Contributions, and Mortality Rates */ *** Thomas Pluemper (University of Essex) */ *** Eric Neumayer (LSE) */ *** */ *** Published in: Public Administration, 91 (2), 2013, pp. 403-418 */ ************************************************************************************************** ************************************************************************************************** /* Note: You have to change "local DIR" to the directory you copy the original stata files contained */ /* in the zip file and then run the do file. */ ************************************************************************************************** version 12.0 drop _all clear matrix clear mata set mem 800m set mat 5000 capture net install outreg2, from(http://fmwww.bc.edu/RePEc/bocode/o) /* checks whether outreg2 is installed */ *********************************************************************************** local DIR = "C:\Research\Health for all database\WHO mortality database\" /*change relative path to the directory where the files are located */ cd "`DIR'" *********************************************************************************** use "Article for Public Administration (mortality).dta", clear tsset countryid year * Sample descriptive statistics xi: quietly xtreg allcause l.allcause total_exp_gdp outofpocket_totot public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust su allcause if e(sample) list country year allcause if allcause==r(min) & e(sample) list country year allcause if allcause==r(max) & e(sample) su public_exp_totexp if e(sample) list country year public_exp_totexp if public_exp_totexp==r(min) & e(sample) list country year public_exp_totexp if public_exp_totexp==r(max) & e(sample) su total_exp_pc if e(sample) list country year total_exp_pc if total_exp_pc==r(min) & e(sample) list country year total_exp_pc if total_exp_pc==r(max) & e(sample) su total_exp_gdp if e(sample) list country year total_exp_gdp if total_exp_gdp==r(min) & e(sample) list country year total_exp_gdp if total_exp_gdp==r(max) & e(sample) su outofpocket_totot if e(sample) list country year outofpocket_totot if outofpocket_totot==r(min) & e(sample) list country year outofpocket_totot if outofpocket_totot==r(max) & e(sample) * Create mean-centered variables for interaction effect capture drop total_exp_pc_meancent capture drop total_exp_gdp_meancent capture drop outofpocket_totot_meancent quietly su total_exp_pc if e(sample) gen total_exp_pc_meancent=total_exp_pc-r(mean) quietly su total_exp_gdp if e(sample) gen total_exp_gdp_meancent=total_exp_gdp-r(mean) quietly su outofpocket_totot if e(sample) gen outofpocket_totot_meancent=outofpocket_totot-r(mean) * Table 1 xi: xtreg allcause l.allcause c.total_exp_gdp_meancent#c.outofpocket_totot_meancent total_exp_gdp_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust outreg2 using c:\table1, replace excel xi: xtreg allcause l.allcause c.total_exp_pc_meancent#c.outofpocket_totot_meancent total_exp_pc_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust outreg2 using c:\table1, append excel * Table 2 * Include fertility rate and share of elderly among population xi: xtreg allcause l.allcause c.total_exp_gdp_meancent#c.outofpocket_totot_meancent total_exp_gdp_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq fertilityrate_interpol popab64share i.year if year>=1984 & oecd==1, fe robust outreg2 using c:\table2, replace excel * Include unemployment rate xi: xtreg allcause l.allcause c.total_exp_gdp_meancent#c.outofpocket_totot_meancent total_exp_gdp_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq unemploy_share_labforc i.year if year>=1984 & oecd==1, fe robust outreg2 using c:\table2, append excel * Include unemployment rate & behavioral variables xi: xtreg allcause l.allcause c.total_exp_gdp_meancent#c.outofpocket_totot_meancent total_exp_gdp_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq unemploy_share_labforc alcoholpc_inter fat_pc i.year if year>=1984 & oecd==1, fe robust outreg2 using c:\table2, append excel * Weigthing observations by country's population size xi: xtreg allcause l.allcause c.total_exp_gdp_meancent#c.outofpocket_totot_meancent total_exp_gdp_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1 [weight=pop_period_average], fe robust outreg2 using c:\table2, append excel * Excluding United States & Luxembourg xi: xtreg allcause l.allcause c.total_exp_gdp_meancent#c.outofpocket_totot_meancent total_exp_gdp_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1 & country!="United States" & country!="Luxembourg", fe robust outreg2 using c:\table2, append excel * Excluding external causes xi: xtreg allcause_minus_external l.allcause_minus_external c.total_exp_gdp_meancent#c.outofpocket_totot_meancent total_exp_gdp_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust outreg2 using c:\table2, append excel ** Selected substantive effects reported in text capture drop lallcause gen lallcause=l.allcause * Compute substantive effect of public expenditure share xi: xtreg allcause lallcause c.total_exp_gdp_meancent#c.outofpocket_totot_meancent total_exp_gdp_meancent outofpocket_totot_meancent public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust capture drop LDV gen LDV=_b[lallcause] margins, at(public_exp_totexp=(1 2)) post di "Short-term effect is:" nlcom (_b[2._at]-_b[1._at]), level(90) di "Long-term effect is:" nlcom (_b[2._at]-_b[1._at])/(1-LDV), level(90) * Compute effect for Australia (1988: total_exp_gdp=6.5, OOP=14.8; 1996: total_exp_gdp=7.6, OOP=17) quietly xi: xtreg allcause lallcause c.total_exp_gdp#c.outofpocket_totot total_exp_gdp outofpocket_totot public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust capture drop LDV gen LDV=_b[lallcause] margins, at(total_exp_gdp=(6.5 7.6) outofpocket_totot=(14.8 17)) post di "Short-term effect is:" nlcom (_b[4._at]-_b[1._at]), level(90) di "Long-term effect is:" nlcom (_b[4._at]-_b[1._at])/(1-LDV), level(90) * What increase in total_exp_gdp alone would create similar effect? quietly xi: xtreg allcause lallcause c.total_exp_gdp#c.outofpocket_totot total_exp_gdp outofpocket_totot public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust * Answer: roughly increasing total_exp_gdp by 3 percentage points margins, at(total_exp_gdp=(6.5 9.5) outofpocket_totot=(14.8)) post di "Short-term effect is: " nlcom (_b[2._at]-_b[1._at]), level(90) * Compute effect for Finland (1991: total_exp_gdp=8.8, OOP=15.6; 1995: total_exp_gdp=7.9, OOP=21.8) quietly xi: xtreg allcause lallcause c.total_exp_gdp#c.outofpocket_totot total_exp_gdp outofpocket_totot public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust capture drop LDV gen LDV=_b[lallcause] margins, at(total_exp_gdp=(8.8 7.9) outofpocket_totot=(15.6 21.8)) post di "Short-term effect is:" nlcom (_b[4._at]-_b[1._at]), level(90) di "Long-term effect is:" nlcom (_b[4._at]-_b[1._at])/(1-LDV), level(90) * Compute effect for Italy (1991: total_exp_gdp=7.9, OOP=17.2; 1995: total_exp_gdp=7.3, OOP=26.6) quietly xi: xtreg allcause lallcause c.total_exp_gdp#c.outofpocket_totot total_exp_gdp outofpocket_totot public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust capture drop LDV gen LDV=_b[lallcause] margins, at(total_exp_gdp=(7.9 7.3) outofpocket_totot=(17.2 26.6)) post di "Short-term effect is:" nlcom (_b[4._at]-_b[1._at]), level(90) di "Long-term effect is:" nlcom (_b[4._at]-_b[1._at])/(1-LDV), level(90) * Compute effect for Italy (1995: total_exp_gdp=7.3, OOP=26.9; 2003: total_exp_gdp=8.3, OOP=22.4) quietly xi: xtreg allcause lallcause c.total_exp_gdp#c.outofpocket_totot total_exp_gdp outofpocket_totot public_exp_totexp lngdppc_ppp lngdppc_ppp_sq i.year if year>=1984 & oecd==1, fe robust capture drop LDV gen LDV=_b[lallcause] margins, at(total_exp_gdp=(7.3 8.3) outofpocket_totot=(26.6 22.4)) post di "Short-term effect is:" nlcom (_b[4._at]-_b[1._at]), level(90) di "Long-term effect is:" nlcom (_b[4._at]-_b[1._at])/(1-LDV), level(90)