6. Methodology and Data

Different
estimation methods of Time series
approaches, Cross sectional analysis, panel data methodology, Distribution approaches such as OLS, GLS,
Fixed and random Effects models has been used in carrying out an
empirical investigation on the effect
of health expenditure on health outcomes. Therefore, to meet the objectives of
this study we employed panel data methodology. The panel data methodology is
efficient econometrics methodology because it is handling both cross-sectional
and time series data and it looking at a consistent aggregate cross-sectional
level (see Serap, 2016; Fatin et
al. 2017).

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Furthermore, the study adopted the Vector Error
Correction model (VECM) methodology in investigating the impact of public
health expenditure on health outcomes. The study started by testing
stationarity of the data, and when the variables were found to be stationary,
after taking their first difference, the Johansen Fisher panel cointegration
test was conducted to determine the order of integration of the variables.
Having found the order of integration of the variables then we run the VECM. Moreover,
impulse response function (IRF) was also adopted by the study. The VECM
Specification is presented below:

?yt=?yt-1+??yt-1+………+?p-1?yt-1+?yt-p+1+Ut………………… (1.2)

Where ?= ??i,    ? is n X m, it is a loading matrix.
While ? is an M x N matrices and it is a co-integration matrix. Therefore
equation (1.2) will be model where by both level and differenced variable are
included, since we are interested in both short run and long run information
due to the presence of co-integration. Vector error correction model (VECM) is a
restricted VAR (vector auto regression) designed for use with nonstationary
series that are known to be co-integrated (Engle and Granger, 1987).

9. Organization of the Thesis

The thesis consist six chapters. The first
chapter presents introduction, background of the study, statement of
research problems, objectives of the study, research hypothesis, significance
of the study, and scope of the study. Similarly, Health care delivery system in
Nigeria and India and Health care financing in Nigeria and India will be
discuss in this chapter. Trends of expenditure on health and health outcomes
across regions in the world, comparison of health outcomes and public health
expenditure for selected countries and methodology employed by the study will
also be explain in this chapter.

The Second
chapter presents the
review of conceptual literature, theoretical and empirical literature
chronologically. It will also review theliterature on trends of public health care
expenditure, health financing and public spending on health care, effectiveness
of public spending in improving health outcomes, constraining
and facilitating factors of public health expenditure on health care and
Governance and health. The third chapter discusses the Theoretical
framework for this research work and the description of study areas (Nigeria
and India).

The fourth
chapter discusses the techniques of data analysis used by this
study, tools of analysis, sources and type of data, sample and
samplings method, variables measurement and their definitions
is explained. The empirical model for this
study, estimation procedures are presented and discuss in this chapter.

The fifth
chapter presents analysis and interprets data
generated for the study. This chapter also discusses the empirical results
andempirical findings of the study. The sixth chapter presents the summary and
conclusion of the study, the important policy implications, recommendations and
limitations of the study.