Abstract

The present study aims to investigate the impact of health expenditure on economic growth in Algeria for the period 1960-2016. Using data from the World Bank database, the Autoregressive Vector model and Granger causality, findings show that health expenditure positively affects economic growth in the short term; which means that the study’s hypothesis is proved. The results therefore reveal the increasing importance of investment in the health sector in order to improve economic growth indicator in Algeria.

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