Leakage of Public Resources in the Health Sector : An Empirical Investigation of Chad
In the public sector in developing countries, leakage of public resources could prove detrimental to users and affect the well-being of the population. This paper empirically examines the importance of leakage of government resources in the health...
| Main Authors: | , |
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| Format: | Policy Research Working Paper |
| Language: | English |
| Published: |
2012
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2007/09/8283414/leakage-public-resources-health-sector-empirical-investigation-chad http://hdl.handle.net/10986/7301 |
| Summary: | In the public sector in developing
countries, leakage of public resources could prove
detrimental to users and affect the well-being of the
population. This paper empirically examines the importance
of leakage of government resources in the health sector in
Chad, and its effects on the prices of drugs. The analysis
uses data collected in Chad as part of a Health Facilities
Survey organized by the World Bank in 2004. The survey
covered 281 primary health care centers and contained
information on the provision of medical material, financial
resources, and medicines allocated by the Ministry of Health
to the regional administration and primary health centers.
Although the regional administration is officially allocated
60 percent of the ministry's non-wage recurrent
expenditures, the share of the resources that actually reach
the regions is estimated to be only 18 percent. The health
centers, which are the frontline providers and the entry
point for the population, receive less than 1 percent of the
ministry's non-wage recurrent expenditures. Accounting
for the endogeneity of the level of competition among health
centers, the leakage of government resources has a
significant and negative impact on the price mark-up that
health centers charge patients for drugs. |
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