title: State and self investments in health.
abstract: In this paper we consider how State investments can crowd out or reinforce self-investments in health using a theoretical model of insurance and protection. We apply this model to the smoking cessation decision made by individuals diagnosed with a cardiovascular disease using data from the 1998, 2003 and 2006 waves of the Health Survey of England. Prescription of lipid-lowering drugs, which increased substantially over this period, is used as the measure of State investment. Using bivariate and trivariate probit models, we allow for the endogeneity of the doctor's decision to prescribe and offer smoking cessation advice. We find that unobservable characteristics affecting the prescription of drugs are positively correlated with those affecting smoking advice and negatively correlated with those affecting the propensity to quit. Our results indicate that prescription of lipid-lowering drugs to individuals with cardiovascular disease increases the probability of smoking cessation by 20-28 percentage points.
authors: Health Sciences - Economics, School of Community Based Medicine, 4.320 Jean McFarlane Building, University of Manchester, Manchester M13 9PL, UK. eleonora.fichera@manchester.ac.uk
authors: Eleonora
authors: E
authors: Fichera
authors: Matt
authors: M
authors: Sutton
mesh_terms: D002318:Cardiovascular Diseases / Q000175:diagnosis / Q000188:drug therapy; D037001:Directive Counseling / Q000191:economics / Q000379:methods*; D011307:Drug Prescriptions / Q000191:economics; D036262:Empirical Research; D004739:England; D005260:Female; D006306:Health Surveys; D006801:Humans; D000960:Hypolipidemic Agents / Q000191:economics / Q000627:therapeutic use; D007348:Insurance, Health / Q000191:economics*; D008297:Male; D008875:Middle Aged; D008962:Models, Theoretical; D010818:Practice Patterns, Physicians' / Q000191:economics / Q000706:statistics & numerical data; D012907:Smoking / Q000009:adverse effects*; D016540:Smoking Cessation / Q000191:economics* / Q000379:methods; D013222:State Medicine
chemical_list: D000960:Hypolipidemic Agents