Below is the hypothetical distribution of government expenditures for i) primary health care and ii) cancer treatment care in a fictitious African poor country. You have been hired as a health economist to analyze the progressivity of the above programmes and provide sound advice to health sector stakeholders on how the two programmes could be improved. Answer the following questions:
a) What is public health expenditure incidence analysis? How can it be conducted?
b) Calculate the concentration coefficients (or concentration shares) for each of the programmes
c) Based on (2) above, what percentage of the programme benefits accrue to the poorest 10% of the population?
d) Now, calculate the cumulative concentration shows for each of the two (2) programmes above.
e) Based on (4) above, what cumulative share of the benefits go to the poorest 50% of the population for each programme?
f) Now, plot concentrations curves for each programme (together with the 45 degree line of population shares) on a single graph using excel (or any software of your choice). Label your graph appropriately.
g) In relation to the population shares, which programme (s) would you classify as progressive/regressive and why?
h) Is there any sound advise you would give to the above country’s policy makers to improve the progressivity of health services in the country?