CHOOSING BETWEEN PUBLIC AND PRIVATE HEALTH-CARE - A CASE-STUDY OF MALARIA TREATMENT IN BRAZIL

Individuals infected with malaria may be treated either in the public sector or in a private clinic. Private treatment is better, but expensive. Using micro-level data from a colonization project in Brazil, we estimate the factors that determine an individual's choice between the two sectors. Private treatment is (strongly) price sensitive and (weakly) wealth sensitive. Rural individuals are more likely to choose private treatment, but long distances to the treatment source deter private treatment. Individuals belonging to small, literate households are more likely to choose private treatment. Gender, age, and number of previous infections are unimportant. Policy implications are discussed.