Details
| Original language | English |
|---|---|
| Pages (from-to) | 1057-1071 |
| Number of pages | 15 |
| Journal | Health economics |
| Volume | 17 |
| Issue number | 9 |
| Early online date | 13 Aug 2008 |
| Publication status | Published - Sept 2008 |
| Externally published | Yes |
Abstract
This paper is the first to investigate both the technical and cost efficiency of more than 1500 German general hospitals. More specifically, it deals with the question how hospital efficiency varies with ownership, patient structure, and other exogenous factors, which are neither inputs to nor outputs of the production process. The empirical results for the years from 2001 to 2003 indicate that private and non-profit hospitals are on average less cost efficient and less technically efficient than publicly owned hospitals. The hospital rankings based on estimated efficiency scores turn out to be negatively correlated with average length of stay, which is highest in private hospitals. The results are derived by conducting a Stochastic Frontier Analysis assuming both Cobb-Douglas and translog production technologies and using a newly available and multifaceted administrative German data set.
Keywords
- Hospital efficiency, Ownership, Stochastic Frontier Analysis
ASJC Scopus subject areas
- Medicine(all)
- Health Policy
Sustainable Development Goals
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In: Health economics, Vol. 17, No. 9, 09.2008, p. 1057-1071.
Research output: Contribution to journal › Article › Research › peer review
}
TY - JOUR
T1 - Cost and technical efficiency of German hospitals
T2 - Does ownership matter?
AU - Herr, Annika
PY - 2008/9
Y1 - 2008/9
N2 - This paper is the first to investigate both the technical and cost efficiency of more than 1500 German general hospitals. More specifically, it deals with the question how hospital efficiency varies with ownership, patient structure, and other exogenous factors, which are neither inputs to nor outputs of the production process. The empirical results for the years from 2001 to 2003 indicate that private and non-profit hospitals are on average less cost efficient and less technically efficient than publicly owned hospitals. The hospital rankings based on estimated efficiency scores turn out to be negatively correlated with average length of stay, which is highest in private hospitals. The results are derived by conducting a Stochastic Frontier Analysis assuming both Cobb-Douglas and translog production technologies and using a newly available and multifaceted administrative German data set.
AB - This paper is the first to investigate both the technical and cost efficiency of more than 1500 German general hospitals. More specifically, it deals with the question how hospital efficiency varies with ownership, patient structure, and other exogenous factors, which are neither inputs to nor outputs of the production process. The empirical results for the years from 2001 to 2003 indicate that private and non-profit hospitals are on average less cost efficient and less technically efficient than publicly owned hospitals. The hospital rankings based on estimated efficiency scores turn out to be negatively correlated with average length of stay, which is highest in private hospitals. The results are derived by conducting a Stochastic Frontier Analysis assuming both Cobb-Douglas and translog production technologies and using a newly available and multifaceted administrative German data set.
KW - Hospital efficiency
KW - Ownership
KW - Stochastic Frontier Analysis
UR - http://www.scopus.com/inward/record.url?scp=51649114329&partnerID=8YFLogxK
U2 - 10.1002/hec.1388
DO - 10.1002/hec.1388
M3 - Article
C2 - 18702100
AN - SCOPUS:51649114329
VL - 17
SP - 1057
EP - 1071
JO - Health economics
JF - Health economics
SN - 1057-9230
IS - 9
ER -