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The Romanian Healthcare Institutions – Managing Budget Limitations and Liquidity Issues

Author

Listed:
  • Cristina Duhnea

    (Ovidius University of Constanta)

  • Silvia Ghi?ã-Mitrescu

    (Ovidius University of Constanta)

Abstract

The paper aims to determine if the public healthcare institutions in Romania (particularly in Constanta County) manage the budget limitations in terms of the level of incomes and expenditures, and if these institutions manage to insure the proper level of liquidity in order to satisfy the entity’s creditors for exigible debts. In order to achieve these objectives, we calculated and analyzed the three indicators of liquidity (working capital - required working capital - net treasury) and in order to identify the degree to which the entity can cope with its short-term debts we used a system of liquidity rates. The findings of the research show heterogeneity in the management of the healthcare institutions and different situations in terms of achieving financial equilibrium.

Suggested Citation

  • Cristina Duhnea & Silvia Ghi?ã-Mitrescu, 2016. "The Romanian Healthcare Institutions – Managing Budget Limitations and Liquidity Issues," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(1), pages 634-640, July.
    • Handle: RePEc:ovi:oviste:v:xvi:y:2016:i:1:p:634-640
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    File URL: http://stec.univ-ovidius.ro/html/anale/RO/wp-content/uploads/2015/03/ANALE-vol-16_issue_1_site.pdf
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    More about this item

    Keywords

    healthcare institution; liquidity; working capital; financial equilibrium;
    All these keywords.

    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • G00 - Financial Economics - - General - - - General

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