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International Conference - Lille, France (3-5 July 2019)

Envisioning the Economy of the Future, and the Future of Political Economy

How political ideology of government affects health system efficiency. Evidence from Parliamentary Democracies.
Nino Kokashvili  1@  , Youjun Shin  2@  
1 : University of Tartu
2 : University of Tart

What role does the government ideological composition play in health policy formation? According to the conventional view, left-oriented governments are more likely to increase health spending, however, the impact of ideology on health policy outcomes is still a question of discussion. This paper examines how the ideological differences of the ruling parties influence the efficiency of health systems. Authors use the 4 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 results from the panel Tobit Regression model, authors show that while left-winged governments increase the public health spending, the efficiency of health systems is higher under ideologically balanced and/or right-winged governments.


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