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An Analysis of Hospital Efficiency and Productivity Growth Using the Luenberger Productivity Indicator

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Author Info
Carlos Pestana Barros () (ISEG, Technical University of Lisbon)
António Gomes de Menezes () (University of the Azores and CEEAplA)
José Cabral Vieira () (University of the Azores, CEEAplA and IZA)
Nicolas Peypoch () (Université de Perpignan)
Bernardin Solonandrasana () (Université de Perpignan)

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Abstract

We analyze the efficiency and productivity growth of a representative sample of Portuguese hospitals from 1997 to 2004, using an innovative approach by employing the directional distance function and the Luenberger productivity indicator. The primary advantage of our approach is that both input contractions and output expansions are considered. Our model generates a productivity indicator that is decomposed into the usual constituents of productivity growth: technological change and efficiency change. The results show that, on average, Portuguese hospitals did not experience productivity growth during the period analyzed. In addition, the incidence of positive productivity growth across Portuguese hospitals was remarkably low.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2689.

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Length: 14 pages
Date of creation: Mar 2007
Date of revision:
Handle: RePEc:iza:izadps:dp2689

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Related research
Keywords: hospitals; Luenberger productivity indicator; efficiency; technological change; productivity;

Find related papers by JEL classification:
I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
L5 - Industrial Organization - - Regulation and Industrial Policy

This paper has been announced in the following NEP Reports:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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  5. Jean-Philippe Boussemart & Walter Briec & Kristiaan Kerstens & Jean-Christophe Poutineau, 2003. "Luenberger and Malmquist Productivity Indices: Theoretical Comparisons and Empirical Illustration," Bulletin of Economic Research, Blackwell Publishing, vol. 55(4), pages 391-405, October. [Downloadable!] (restricted)
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  10. Ana Rodríguez-Álvarez & C. A. Knox Lovell, 2004. "Excess capacity and expense preference behaviour in National Health Systems: an application to the Spanish public hospitals," Health Economics, John Wiley & Sons, Ltd., vol. 13(2), pages 157-169. [Downloadable!]
  11. Eulália Dalmau-Atarrodona & Jaume Puig-Junoy, 1998. "Market Structure and Hospital Efficiency: Evaluating Potential Effects of Deregulation in a National Health Service," Review of Industrial Organization, Springer, vol. 13(4), pages 447-466, August. [Downloadable!] (restricted)
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This page was last updated on 2009-11-23.


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