COVID-19 Mortality and Health Expenditures across European Countries: The Positive Correlation Puzzle

15 Pages Posted: 25 Aug 2020 Last revised: 1 Sep 2020

See all articles by Serge Blondel

Serge Blondel

University of Angers

Radu Vranceanu

ESSEC Business School; University of Cergy-Pontoise - THEMA

Date Written: August 24, 2020

Abstract

The positive correlation between health share expenditures and COVID-19 case fatalities in a cross-section of 31 European countries is puzzling. The positive relationships is also detected in weighted OLS and IV models that control for many usual suspects of the COVID-19 mortality: (1) health indicators (personal risk factors, medical resources), (2) virus ease of circulation, (3) macroeconomic variables related to the economic development and social orientation of the country. COVID-19 case fatalities are lower in countries with significant resources dedicated to health care (hospital beds and medical doctors); the contribution of virus circulation factors is less significant. Policy implications follow.

Keywords: COVID-19, health care systems, Europe, efficiency, mortality, health policy

JEL Classification: H12, I18 

Suggested Citation

Blondel, Serge and Vranceanu, Radu, COVID-19 Mortality and Health Expenditures across European Countries: The Positive Correlation Puzzle (August 24, 2020). Available at SSRN: https://ssrn.com/abstract=3679972 or http://dx.doi.org/10.2139/ssrn.3679972

Serge Blondel (Contact Author)

University of Angers ( email )

4 Boulevard Lavoisier
BP 13633
Angers, 49016
France

Radu Vranceanu

ESSEC Business School ( email )

3, Av. Bernard Hirsch
PB 50105
Cergy-Pontoise, 95021
France

HOME PAGE: http://www.essec.fr

University of Cergy-Pontoise - THEMA ( email )

33 boulevard du port
F-95011 Cergy-Pontoise Cedex, 95011
France

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
82
Abstract Views
959
rank
356,881
PlumX Metrics