Document Type : Original Article

Authors

1 Professor, Development Economics, Khorasgan Branch, Islamic Azad University, Isfahan, Iran

2 Associate Professor, Public Sector Economics, The University of Isfahan, Isfahan, Iran.

3 MSc, Economic Science, Khorasgan Branch, Islamic Azad University, Isfahan, Iran.

Abstract

Introduction: Economic growth has always been known as one of the fundamental ideals of 
governments and an indicator to assess their performance. Achieving economic growth more than 
anything, depends on right recognition of potential pathways and the factors influencing it. One 
of the factors affecting economic growth is workforce health which forms the basis of human 
capital in combination with education. Aim of Study was to identify the effects of household 
health expenditure on economic growth and evaluated some other impressive factors on growth 
of Iranian provinces. 
Methods: This theoretical, scientific study used a method derived from Romer's endogenous 
growth model. The mentioned model was selected after technical studies and econometric tests 
using panel data approach, i.e. blending time series of 2000-2007 with cross-sectional data from 
27 provinces of Iran. 
Results: Findings of this survey proved the positive effect of household health expenditure 
growth and government investment expenditure on economic growth of provinces of Iran. 
Moreover, the results showed a negative relationship between consumer price index (CPI) and the 
economic growth of each province. 
Conclusion: Household health care expenditure had a significant effect on economic growth of 
Iranian provinces. Considering the proportion of this expenditure of household budget compared 
to other countries, economic growth and development of different provinces can be achieved 
through improving health care. 

Keywords