Socioeconomic and Demographic Determinants of Out-of-Pocket Healthcare Expenditures in Pakistan: A Provincial Comparative Analysis

The basic aim of the present study is to empirically investigate the role of socio-demographic factors over the household’s out-of-pocket healthcare expenditures based on provincial comparative analysis. The micro-level cross-sectional data from PSLM (2015-16) was used for the study. Descriptive as well as quantitative analyses were performed to achieve the objectives. In the case of descriptive analysis, we used the Mean approach, while the multiple regression model was estimated using the Ordinary Least Square Method in the case of empirical investigation of out-of-pocket healthcare expenditures in Pakistan. The results of the descriptive analysis show that there was no difference in mean health expenditures pattern based on the gender of the household head. Further, mean health expenditures were increasing with the increase in the education of both male-headed as well as female-headed households in Pakistan. The result of multiple regression indicates that age, Income, and gender of the household head were found significant and positive determinants of out-of-pocket health expenditures in all provinces. Further, the education of the household head significantly and positively affected out-of-pocket health expenditure in Khyber Pakhtunkhwa (KP) and Punjab, while the education of the spouse was found significant with a positive sign in all cases except in the case of Baluchistan. Additionally, the Industry/type of work of the household head also found significant positive determinants of out-of-pocket health expenditures in KP, Punjab, and Sindh while the industry/ type of work of the household head was found insignificant in the case of Baluchistan province. Based on the findings of the present study, the central authority of Pakistan general and Baluchistan decision-making/planers authority. From the above conclusion, it is suggested to central and provincial authorities provide the incentive to the industrialist in terms of eliminating war & terror, and providing soft loans and stability in government, therefore, the industry plays its role to improve the health condition of Baluchistan province