Objective (s): One of the factors affecting life expectancy is health Expenditure. Considering the different effects and outcomes of private and Public health Expenditures on health in Iran, the aim of this study was to investigate the causality between Public and private health Expenditures and life expectancy in the short and long term in Iran. Methods: This descriptive-analytical study was carried out at the national level using Vector Error Correction Model for Iran. Data were obtained from annual time series for the 2000-2017, extracted from the World Bank website. The model and related tests were estimated in Eviews 10 software. Results: The results showed that there was a two-way causality relationship between Public Expenditure and life expectancy in the short and long term. Also, private health Expenditures had a causal relationship with life expectancy, but life expectancy had no causal impact on private health Expenditures in the short and long term. The years of schooling and income had a positive impact and inflation had a negative impact on Public and private health Expenditures in Iran. Conclusion: Public health Expenditures had a causal effect on life expectancy. Therefore, policies for increasing investment in infrastructure and enhancing preventive health services, improving and promoting health technology and training specialist forces that are dependent on Public Expenditures are essential for promoting community health. Also, due to the effect of private health Expenditure on life expectancy, in order to increase life expectancy and community health, supportive and insurance policies for low-income households are necessary to compensate for some of the health costs.

Background: Health Expenditure is among the factors affecting the improvement of a society’ s health status. Hence, recognizing the effects of Public and private health Expenditure on health status is vital for making the required decisions. Objectives: This study aimed to compare the effects of different levels of health Expenditure on life expectancy, infant mortality rate, and under-five mortality rate as health indicators. Methods: The current study isananalytical research, whichwasconducted basedona cross-sectionalandannual time series data. In this study the effects of privateand Public health Expenditureonhealth indicators from2000to 2015 were investigated. The selected countries had the middle or high-income level and were classified into three groups based on the Public health Expenditure rate and k-mean method. The required data were collected from theWorld Bank site and for estimating the model, panel data regression models were used. Results: Public health Expenditure had a significant effect on health indicators in all groups, thus, an increase in Public health Expenditure led to increasing life expectancyand decrease infant andunder-five mortality rate in all groups. Also, the group with the highest share of health Expenditure had a greater impact on life expectancy and infant mortality, however, in regards to the underfive mortality rate, it was contrary. The effect of private health Expenditure was different and in most cases it had no significant effect. Conclusions: The findings of this study indicated that Public health Expenditure is more effective than the private health Expenditure and it also improved health status by creating positive external effects. Therefore, the governments must provide enough required financial resources for improving health status.

This study examines the nonlinear impact of urbanization on Public sector Expenditure in Iran during the years of 1960-2014. For this purpose, is used the Smooth Transition Regression model (STR) as one of the most prominent regime-switching models. The estimated STR model supports a nonlinear threshold behavior in the relationship between urbanization and Public sector Expenditure in the country in a two regime structures with a threshold (optimum) level of about 55. 28%. In the first regime, urbanization has a negative impact on Public sector Expenditure, because of positive external consequences and economies of scale in the production of Public goods, but after crossing the threshold level (the amount of 55. 28 percent), in second regime, its impact is positive, due to occurrence of the phenomenon external crowded and some negative external consequences. Accordingly, it can be said that the hypothesis of U-shaped impact of the urbanization on Public sector Expenditure has been confirmed in the Iran.