Analyzing the Effects of Public Sector Health and Treatment Expenditures on Economic Growth in Iran

Identifying parameters that deliver countries to sustainable economic growth is considered as one of the main concerns for researchers, and achieving economic growth basically, depends on right recognition of potential pathways and the factors influencing it. In this regard, one of the channels of achieving sustainable economic growth is health and wellness of workforce promotion and health have significant effects on economic growth by increasing ability of human resources. The aim of this study is to investigate the role of health and treatment expenditures on economic growth in a static panel data framework for 29 provinces in Iran during 2005-2015 periods. The result shows a positive and significant relationship between health expenditures, labor and physical capital and economic growth; and the relationship between private health expenditure and economic growth is positive but not significant.