The Impact of Economic Sanctions on Household Healthcare Costs: A Difference-in-Difference Approach

Document Type : Original Article

Authors

1 PhD Student in Economics, Department of Economics, Firozkoh Branch, Islamic Azad University, Firozkoh Branch, Iran

2 Assistant Professor, Economics, Faculty of Social and Economic Sciences, Al-Zahra University, Tehran, Iran

3 Assistant Professor, Department of Economics, Firozkoh Branch, Islamic Azad University, Firozkoh Branch, Iran

4 Associate Professor, Department of Economics, Firozkoh Branch, Islamic Azad University, Firozkoh Branch, Iran

10.48308/jem.2024.236139.1926

Abstract

The purpose of the present study was to investigate the economic sanctions on urban households' expenditures in the healthcare sector. In this study, the statistical information prepared from the household budget of Tehran city in the period of 2011-2022 and the difference-in-difference regression method were used. In the first stage, economic sanctions lead to a reduction in health and pharmaceutical products, and as a result, health is reduced to these basic goods, which affects the acceptable population, especially women, children, and the elderly. The results of this study indicate that economic sanctions have reduced the cost of health and treatment in the household budget. The result obtained from the difference in the difference of the model indicates that due to the change in the results of the sanctions and also the net economic target households through the reduction in household purchases, it leads to a reduction in the costs related to health and treatment costs for households. So, it is suggested that government policies in the health and treatment sector should be targeted and identify low-income families so that this group can meet their medical needs in this situation.

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