Many budget surveys present the interesting features that for a wide range of goods they contain quantity information along with expenditure information, and that the geographical location of households is fairly precise. We take advantage of these features to develop a method for estimation of...

In this paper we predict the pure demographic effect on medical expenditure of the German Statutory Health Insurance Scheme. To isolate this effect, we assume that the age-specific expenditure for medical treatment as observed in 1991 remains constant over the whole prediction period (1991 until...