This study tests the theory of rationing, examining changes in household consumption behavior during the transition to a market economy in Poland, 1987–92. A model of consumption under rationing is developed and fitted to prereform quarterly data from the Polish Household Budget Survey. Virtual prices, prices at which consumers would have voluntarily chosen the rationed levels of goods, are der...

Out-of-pocket (OOP) expenditures for healthcare continue to be the most significant means of healthcare issue in the developing world and constitute a large share of their living financial plan (1, 2). The healthcare expenditures are largely unpredictable and usually have a negative impact on the poor households, while large expenditures have catastrophic impacts on household welfare. A sudden ...