FACTORS INFLUENCING DEMAND FOR HEALTHCARE SERVICES AMONG THE ELDERLY WOMEN IN SRI LANKA

Abstract

Population ageing is a common feature of many developed and developing countries in the world
today. This phenomenon is occurring mainly due to the decline in fertility and mortality and
resultant increase in the life expectancy which is accompanied by socio-economic developments
of the country. The ageing of the Sri Lankan population will have a major impact on the
organization and delivery of health care. Of particular importance, will be the shift from acute to
chronic illnesses and the likely growing shortage of health care workers, especially nurses and
para-professionals. As the length of life and number and proportion of older persons increase, a
central question is whether this population ageing will be accompanied by sustained or improved
health, an improving quality of life, and sufficient social and economic resources. Therefore, this
study attempts to identify the factors influencing healthcare demand for the elderly population in
Sri Lanka. This paper is based on widely used Michal Grossman’s economic model for the
demand of health where healthcare is treated as an input for the production of health. If health of
the elderly has to be improved, then demand for healthcare of the elderly needs to be understood
properly. For young-old female group, expenditure on drugs has been the most significant factor
which influences the demand for health care same as in the case of young-old male group.
Method of treatment, health status and cost per visit for medical treatment can be viewed as
major determinants of demand for healthcare among old-old women. Amongst all, method of
medical treatments of old-old females is having stronger relationship with number of visits for
medical consultations. The present study adds another dimension to the Grossman Model by
treating health status of the elderly and associated healthcare costs as two major significant
variables that affect their demand for healthcare services. In Sri Lankan context, it appears that
expenditure on drugs is the most concerned factor among the elderly when all the healthcare
costs are taken in to account.