Internal markets and health care efficiency : A multiple-output stochastic frontier analysis
Gerdtham, U. G. LU
; Löthgren, M.
; Tambour, M.
and Rehnberg, C.
(1999)
In Health Economics
8(2).
p.151-164
- Abstract
This paper has two purposes. The first purpose is methodological and aims to extend previous work on efficiency analysis by implementing a multiple-output stochastic ray frontier production function model. This model generalizes the single-output stochastic frontier model to multiple-input, multiple-output technologies and allows simultaneous estimation of technical efficiency and analysis of influential variables on efficiency. The second, empirical, purpose is to test for existence and magnitude of the effect of purchaser/provider split combined with new reimbursement schemes on technical efficiency in the Swedish public hospital system. The analysis is carried out with a panel data set covering the total population of 26 Swedish... (More)
This paper has two purposes. The first purpose is methodological and aims to extend previous work on efficiency analysis by implementing a multiple-output stochastic ray frontier production function model. This model generalizes the single-output stochastic frontier model to multiple-input, multiple-output technologies and allows simultaneous estimation of technical efficiency and analysis of influential variables on efficiency. The second, empirical, purpose is to test for existence and magnitude of the effect of purchaser/provider split combined with new reimbursement schemes on technical efficiency in the Swedish public hospital system. The analysis is carried out with a panel data set covering the total population of 26 Swedish County Councils from 1989 to 1995. Our empirical results support the frontier model specification and indicate that output-based reimbursement improves technical efficiency. The potential saving in costs due to a switch from budget-based allocation to output-based allocation is estimated to be almost 10%.
(Less)
- author
- Gerdtham, U. G.
LU
; Löthgren, M.
; Tambour, M.
and Rehnberg, C.
- publishing date
- 1999-03-01
- type
- Contribution to journal
- publication status
- published
- subject
- keywords
- Internal markets, Panel data, Stochastic ray frontier model, Technical efficiency
- in
- Health Economics
- volume
- 8
- issue
- 2
- pages
- 14 pages
- publisher
- John Wiley & Sons Inc.
- external identifiers
-
- scopus:0344609777
- pmid:10342728
- ISSN
- 1057-9230
- DOI
- 10.1002/(SICI)1099-1050(199903)8:2<151::AID-HEC411>3.0.CO;2-Q
- language
- English
- LU publication?
- no
- id
- af892ca3-d013-46d2-9674-711028c20b7a
- date added to LUP
- 2018-10-09 12:24:10
- date last changed
- 2024-06-24 21:14:40
@article{af892ca3-d013-46d2-9674-711028c20b7a,
abstract = {{<p>This paper has two purposes. The first purpose is methodological and aims to extend previous work on efficiency analysis by implementing a multiple-output stochastic ray frontier production function model. This model generalizes the single-output stochastic frontier model to multiple-input, multiple-output technologies and allows simultaneous estimation of technical efficiency and analysis of influential variables on efficiency. The second, empirical, purpose is to test for existence and magnitude of the effect of purchaser/provider split combined with new reimbursement schemes on technical efficiency in the Swedish public hospital system. The analysis is carried out with a panel data set covering the total population of 26 Swedish County Councils from 1989 to 1995. Our empirical results support the frontier model specification and indicate that output-based reimbursement improves technical efficiency. The potential saving in costs due to a switch from budget-based allocation to output-based allocation is estimated to be almost 10%.</p>}},
author = {{Gerdtham, U. G. and Löthgren, M. and Tambour, M. and Rehnberg, C.}},
issn = {{1057-9230}},
keywords = {{Internal markets; Panel data; Stochastic ray frontier model; Technical efficiency}},
language = {{eng}},
month = {{03}},
number = {{2}},
pages = {{151--164}},
publisher = {{John Wiley & Sons Inc.}},
series = {{Health Economics}},
title = {{Internal markets and health care efficiency : A multiple-output stochastic frontier analysis}},
url = {{http://dx.doi.org/10.1002/(SICI)1099-1050(199903)8:2<151::AID-HEC411>3.0.CO;2-Q}},
doi = {{10.1002/(SICI)1099-1050(199903)8:2<151::AID-HEC411>3.0.CO;2-Q}},
volume = {{8}},
year = {{1999}},
}