The Impact of Government Health Expenditure on Economic Growth

Main Article Content

Pengfei Jing
School of Finance, Shandong University of Finance and Economics, Jinan 250014, China

DOI: https://doi.org/10.70267/icrafm.2026172131

Keywords

government health expenditure, economic growth, labor productivity, per capita medical resources

Abstract

Based on panel data from 31 provinces in China during the period 2009–2024, this paper uses a two-way fixed effects model within the Cobb-Douglas production function framework to study and analyze the impact and transmission mechanism of government health expenditure on economic growth. Empirical results show that: First, government health expenditure has a significant positive effect on economic growth. Second, labor productivity plays a significant mediating role, meaning that health investment transforms improvements in micro-level efficiency into macroeconomic growth by accumulating healthy human capital. Third, the growth effect is moderated by regional medical resource endowment, and differences in per capita medical resources lead to heterogeneity in the marginal output of fiscal investment.

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Published
Jul 30, 2026
Conference Proceedings Volume
Vol. 17 (2026): Proceedings of the International Conference on Research in Accounting, Finance and Management (ICRAFM 2026)
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Articles
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How to Cite

Jing, Pengfei. “The Impact of Government Health Expenditure on Economic Growth”. Exploring Science Academic Conference Series, vol. 17, July 2026, pp. 21-31, https://doi.org/10.70267/icrafm.2026172131.