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KMID : 0387320030130040048
Korean Journal of Health Policy and Administration
2003 Volume.13 No. 4 p.48 ~ p.65
Korean Pharmaceutical Expenditure according to OECDs System of Health Accounts
Jeong Hyoung-Sun

Abstract
Detailed analyses of total health expenditure and its sub-categories are essential for the evidence-based health policy(EBHP). These analyses, again, should be based on timely and reliable data that are comparable across countries. The System of Health Accounts (SHA), published by the OECD in 2000, provides an integrated system of comprehensive and internationally comparable accounts. The author has implemented the SHA manual into Korean situation, and examined overall expenditure estimate and its basic functional breakdown following the manual.

This study explains how pharmaceutical expenditure is estimated. The results are, then, analyzed particularly from the international perspective. Both administrative data in Statistical Yearbooks (National Health Insurance, Medical Aid, Industrial Accident Compensation Insurance) and survey data on Health and Nutrition are used for the estimation.

Per capita pharmaceutical expenditure in Korea (183 US$ PPPs) was far less than the OECD average (308 US$ PPPs) in 2001, but pharmaceutical expenditure share in total health expenditure (20.3%) was higher than the average (16.7%). This can be explained by the fact that there is a statistically significant correlation between pharmaceutical expenditure share and per capita GDP of each country. Korean people follow the tendency of relatively low-income countries to spend less than OECD average for health care, but follow again their tendency, to spend more on drugs than on other health care services.

In consideration of results and analysis as above, per capita pharmaceutical expenditure in Korea is expected to grow in the future, but the growth rate of the pharmaceutical expenditure is expected to be less than that of overall health expenditure.
KEYWORD
harmaceutical Expenditure Per Capita, Pharmaceutical Expenditure as a shire of Total Health Expenditure(THE% System of Health Accounts(SHA), OECD Health Data, International Comparison
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