Does Health Contribute to Economic Growth? An Evidence from Regional Levels in Indonesia
Health can lead economic development in many countries. The higher the quality of health, the more space for increasing economic growth and providing prosperity in the long-run. The current study attempts to estimate the effect of health on regional economic growth in Indonesia. Balanced panel data...
Saved in:
| Main Authors: | , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Muhammadiyah University Press
2022-12-01
|
| Series: | Jurnal Ekonomi Pembangunan: Kajian Masalah Ekonomi dan Pembangunan |
| Subjects: | |
| Online Access: | https://journals2.ums.ac.id/index.php/jep/article/view/9550 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1849415051577917440 |
|---|---|
| author | Malik Cahyadin Vita Kartika Sari Aranka Ignasiak Szulc |
| author_facet | Malik Cahyadin Vita Kartika Sari Aranka Ignasiak Szulc |
| author_sort | Malik Cahyadin |
| collection | DOAJ |
| description | Health can lead economic development in many countries. The higher the quality of health, the more space for increasing economic growth and providing prosperity in the long-run. The current study attempts to estimate the effect of health on regional economic growth in Indonesia. Balanced panel data is set covering 34 provinces from 2015 to 2020. The panel data is estimated using system Generalized Method of Moments (GMM). The findings reveal that smoking level contributes significantly and positively on regional economic growth, while health service has no effect. The non-linear impact of smoking level on regional economic growth is U-shaped. It means that higher smoking level stimulates regional economic growth by the increasing of aggregate spending. The local governments should design health service program and control smoking level properly so that the health risk of cigarette consumption does not offset its benefit to the economy. The policy design will produce better human health and life in all provinces in Indonesia. Consequently, the regional economic growth can be achieved in the long-run. |
| format | Article |
| id | doaj-art-80809347eb9841cd93a788a3418faf9a |
| institution | Kabale University |
| issn | 1411-6081 2460-9331 |
| language | English |
| publishDate | 2022-12-01 |
| publisher | Muhammadiyah University Press |
| record_format | Article |
| series | Jurnal Ekonomi Pembangunan: Kajian Masalah Ekonomi dan Pembangunan |
| spelling | doaj-art-80809347eb9841cd93a788a3418faf9a2025-08-20T03:33:38ZengMuhammadiyah University PressJurnal Ekonomi Pembangunan: Kajian Masalah Ekonomi dan Pembangunan1411-60812460-93312022-12-0128329410.23917/jep.v23i2.201069613Does Health Contribute to Economic Growth? An Evidence from Regional Levels in IndonesiaMalik Cahyadin0Vita Kartika Sari1Aranka Ignasiak Szulc2epartment of Development Economics, Universitas Sebelas Maret, IndonesiaDepartment of Development Economics, Universitas Sebelas Maret, IndonesiaDepartment of Economic Policy and Regional Studies, Nicolaus Copernicus University, PolandHealth can lead economic development in many countries. The higher the quality of health, the more space for increasing economic growth and providing prosperity in the long-run. The current study attempts to estimate the effect of health on regional economic growth in Indonesia. Balanced panel data is set covering 34 provinces from 2015 to 2020. The panel data is estimated using system Generalized Method of Moments (GMM). The findings reveal that smoking level contributes significantly and positively on regional economic growth, while health service has no effect. The non-linear impact of smoking level on regional economic growth is U-shaped. It means that higher smoking level stimulates regional economic growth by the increasing of aggregate spending. The local governments should design health service program and control smoking level properly so that the health risk of cigarette consumption does not offset its benefit to the economy. The policy design will produce better human health and life in all provinces in Indonesia. Consequently, the regional economic growth can be achieved in the long-run.https://journals2.ums.ac.id/index.php/jep/article/view/9550healtheconomic growthsystem-gmm; linearnon-linear estimation |
| spellingShingle | Malik Cahyadin Vita Kartika Sari Aranka Ignasiak Szulc Does Health Contribute to Economic Growth? An Evidence from Regional Levels in Indonesia Jurnal Ekonomi Pembangunan: Kajian Masalah Ekonomi dan Pembangunan health economic growth system-gmm; linear non-linear estimation |
| title | Does Health Contribute to Economic Growth? An Evidence from Regional Levels in Indonesia |
| title_full | Does Health Contribute to Economic Growth? An Evidence from Regional Levels in Indonesia |
| title_fullStr | Does Health Contribute to Economic Growth? An Evidence from Regional Levels in Indonesia |
| title_full_unstemmed | Does Health Contribute to Economic Growth? An Evidence from Regional Levels in Indonesia |
| title_short | Does Health Contribute to Economic Growth? An Evidence from Regional Levels in Indonesia |
| title_sort | does health contribute to economic growth an evidence from regional levels in indonesia |
| topic | health economic growth system-gmm; linear non-linear estimation |
| url | https://journals2.ums.ac.id/index.php/jep/article/view/9550 |
| work_keys_str_mv | AT malikcahyadin doeshealthcontributetoeconomicgrowthanevidencefromregionallevelsinindonesia AT vitakartikasari doeshealthcontributetoeconomicgrowthanevidencefromregionallevelsinindonesia AT arankaignasiakszulc doeshealthcontributetoeconomicgrowthanevidencefromregionallevelsinindonesia |