The correlation between health care expenditure, gross domestic product (GDP) and population over 65 years (understood as share of the elderly) is a key question for health economics and demographic impact. The purpose of this paper is to study the role of ageing society to curb rising health care expenditures along the Spanish regions over the period 2002-2013, identifying their geographic differences and explain them based on GDP differences.
Cointegration technique is used in order to test if there is a statistically significant connection between variables.
They are similar to some obtained when using unit root test. In particular, the authors find how the elderly positively affects health care expenditure per capita.
The findings suggest that any cooperation policies should aim at improving the access of people to health care services based on public health care expenditures.
To the best of the knowledge this is one of the first studies which suggest different results by Spanish regions due to mature decentralized system in recent years.
