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This article analyzes the redistributive impact of public health expenditure in Spain following an insurance value approach to impute expenditure outlays on individual and household’s budget. We model the intensity of use of different health care services using a discrete choice framework on a nationally representative health care survey and then predict probabilities on the 2006 Spanish EU-SILC sample. This allows us to construct an income extended with public health coverage and to compare it with household disposable income. The results show that public health expenditure in Spain acts progressively on the income distribution and that public health outlays has a good capacity to get families out from poverty.
