Q. What is/are the consequences of high Out of Pocket Expenditure on health?
1. It can lead to an increased level of poverty.
2. It can reduce the life expectancy of the population.
3. It is directly proportional to public health expenditure.
Which of the statements given above is/are correct?

[A] 1 only

[B] 1 and 3 only

[C] 1 and 2 only

[D] All of the above

Answer: C

Health of a nation depends critically on its citizens having access to an equitable, affordable and accountable healthcare system. The Out of Pocket Expenditure (OOPE) as a share of total health expenditure of households drops precipitously when public health expenditure increases.

OOPE for health increases the risk of vulnerable groups slipping into poverty because of catastrophic health expenditure. The life expectancy in a country correlates positively with per capita public health expenditure.