Health and household expenditures

We examine the effect of health on household expenditures in the Netherlands between 2009 and 2017, a period that is characterized by significant increases in out-of-pocket medical expenditures for long-term care. How health affects household spending is an empirical question: on the one hand, health can affect a household’s budget through increased out-of-pocket medical expenditures or, for the working population, through reduced income. On the other hand, health can affect a household’s consumption preferences; help with cleaning, gardening, and home maintenance will likely become more valuable in situations of poor health, while leisure activities can be constrained by poor health.

Netspar, Network for Studies on Pensions, Aging and Retirement, is a thinktank and knowledge network. Netspar is dedicated to promoting a wider understanding of the economic and social implications of pensions, aging and retirement in the Netherlands and Europe.


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