Relationship between Macroeconomic Variables

Health is one of the main national indicators that is affected by macroeconomic variables and impact on them. In this paper, the effect of macroeconomic variables on two health indicators. i.e. life expectancy at birth and under-5 mortality rate, is tested. VECM model is used. The variables economic growth, unemployment rate, inflation rate, balance of payment, and Gini coefficient had significant negative effects on health; and health expenditure and government expenditure had significant positive effects on health outcomes. All macroeconomic variables effect on health, so economic planners should pay attention to health and health care programs and public wellbeing in accordance with other macroeconomic policy-making.