Marginal benefit incidence analysis of public spending on health services in Nigeria

Abstract

The study estimated the marginal benefit incidence (MBI) of government spending on the health service in Nigeria. Benefit incidence (BIA) and Pro- gressivity of Benefit (PB) were analysed by using the Distributive Analysis Stata Package (DASP) 2.1 procedure as indicated in Araar and Duclos (2009). MBI was estimated following the procedure of Ajwad and Wodon (2007). The study made use of the data from the Nigeria Bureau of Statistics (NBS) most recent Living Standard Household Survey conducted in 2004. The data on child vaccination, prenatal and postnatal consultation as contained in the Living Standard Household Survey were used to achieve the objectives of this study. The results of the analysis show that spending on health provision in Nigeria is not pro-poor. Marginal benefit incidence of spending on health services in Nigeria indicates that the poorest group will benefit more on the health services in which their current participation (accessibility) rate is high. The study concludes by making recommendations that can accelerate the speed at which the poor benefit more from particular health services by organ- ising increases in access to health services in Nigeria.