Abstract
This paper uses data from a household survey to analyze the utilization of health care by the poor in Egypt. We find that even though the government provides free care, a significant proportion of the poor visit fee-for-service private providers. As a result, the poor and the indigent spend disproportionately larger amounts on health compared to the rich. We take this as evidence of the failure of the governmental policy of public provision of health care to lead to considerable gains in rates of utilization by the poor. Our study provides empirical support for arguments favoring greater emphasis on government financing of health care instead of the direct provision that characterizes many developing countries.