Effects of air pollution and monetary policy on health expenditure with a sustainable development approach in the European Union
نویسندگان
1 Department of Economics, University of Sistan and Baluchestan, Zahedan, Iran
2 Department of Economics, University of Sistan and Baluchestan, Zahedan, Iran
3 Department of Mathematics, National Institute of Applied Sciences, Rennes, France
4 Department of Economics, University of Sistan and Baluchestan, Zahedan, Iran
doi
10.22124/cjes.2025.8566چکیده
Demographic, social, and economic factors, along with financing arrangements and the organizational structure of the health system, shape a country's health expenditure and its evolution over time. The COVID-19 pandemic had a significant impact on Europe’s health expenditure in 2020. This study aims to examine the effects of air pollution and monetary policy on healthcare expenditure in European countries within the framework of sustainable development during the COVID-19 crisis. To achieve this, spatial panel models are used to analyze the 2005–2020 panel data of 27 countries. The results indicate that the average air pollution index negatively affects healthcare expenditure. In contrast, GNI, Broad Money (M3), CPI, and the Death rate positively impact healthcare expenditure. Based on these empirical findings, if EU governments aim to guide the expansion of the healthcare system through a more government-driven monetary policy, they should revise their air pollution regulations accordingly.
