IDEAS home Printed from https://ideas.repec.org/a/eaa/aeinde/v11y2011i1_1.html
   My bibliography  Save this article

Health Care Efficiency Across Countries: A Stochastic Frontier Analysis

Author

Listed:
  • OGLOBLIN, Constantin

Abstract

This study addresses the increasingly important issue of efficiency of national health care systems. It uses the stochastic frontier technique to estimate a health production function where the inefficiency term is modeled as a linear function of relevant explanatory variables. The results show that inefficiency of national health care systems is inversely related with per capita income and directly related with income inequality. An important policy related finding is that health care systems are more efficient when greater shares of total health care expenditure come from public sources and out of pocket, rather than from private insurance coverage.

Suggested Citation

  • OGLOBLIN, Constantin, 2011. "Health Care Efficiency Across Countries: A Stochastic Frontier Analysis," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 11(1).
    • Handle: RePEc:eaa:aeinde:v:11:y:2011:i:1_1
    as

    Download full text from publisher

    File URL: http://www.usc.es/economet/reviews/aeid1111.pdf
    Download Restriction: No.
    ---><---

    References listed on IDEAS

    as
    1. Guisan, M.C. & Exposito, P., 2007. "Education, Development And Health Expenditure In Africa: Estimation Of Cross-Section Model Of 39 Countries In 2000-2005," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 7(2), pages 135-142.
    2. William Greene, 2004. "Distinguishing between heterogeneity and inefficiency: stochastic frontier analysis of the World Health Organization's panel data on national health care systems," Health Economics, John Wiley & Sons, Ltd., vol. 13(10), pages 959-980, October.
    3. Weisbrod, Burton A, 1991. "The Health Care Quadrilemma: An Essay on Technological Change, Insurance, Quality of Care, and Cost Containment," Journal of Economic Literature, American Economic Association, vol. 29(2), pages 523-552, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ndlovu, Thabang, 2022. "Are South African Medical Schemes Efficient? A Longitudinal Analysis," MPRA Paper 115507, University Library of Munich, Germany.
    2. Youssef Er-Rays & Meriem M’dioud & Hamid Ait-Lemqeddem & Mustapha Ezzahiri, 2024. "Assessing efficiency maternal and child health services in Morocco: data envelopement analysis and Tobit model," Quality & Quantity: International Journal of Methodology, Springer, vol. 58(6), pages 5577-5619, December.
    3. Keller, Michael, 2020. "Wasted windfalls: Inefficiencies in health care spending in oil rich countries," Resources Policy, Elsevier, vol. 66(C).
    4. Constantin Ogloblin, 2023. "Health care financing and productivity of health care in OECD countries: a stochastic frontier analysis," Eurasian Economic Review, Springer;Eurasia Business and Economics Society, vol. 13(2), pages 259-283, June.
    5. Dino Rizzi & Michele Zanette, 2021. "Potential efficiency gains and expenditure savings in the Italian Regional Healthcare Systems," Politica economica, Società editrice il Mulino, issue 2, pages 187-214.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lundgren, Tommy & Marklund, Per-Olov & Zhang, Shanshan, 2016. "Industrial energy demand and energy efficiency – Evidence from Sweden," Resource and Energy Economics, Elsevier, vol. 43(C), pages 130-152.
    2. Kurt Hornschild & Stephan Raab & Jörg-Peter Weiß, 2005. "Die Medizintechnik am Standort Deutschland: Chancen und Risiken durch technologische Innovationen, Auswirkungen auf und durch das nationale Gesundheitssystem sowie potentielle Wachstumsmärkte im Ausla," DIW Berlin: Politikberatung kompakt, DIW Berlin, German Institute for Economic Research, edition 2, volume 10, number pbk10, March.
    3. Daron Acemoglu & Amy Finkelstein, 2008. "Input and Technology Choices in Regulated Industries: Evidence from the Health Care Sector," Journal of Political Economy, University of Chicago Press, vol. 116(5), pages 837-880, October.
    4. Chen, Yi-Yi & Schmidt, Peter & Wang, Hung-Jen, 2014. "Consistent estimation of the fixed effects stochastic frontier model," Journal of Econometrics, Elsevier, vol. 181(2), pages 65-76.
    5. Carlos Pestana Barros & Zhongfei Chen & Peter Wanke, 2016. "Efficiency in Chinese seaports: 2002–2012," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 18(3), pages 295-316, September.
    6. Wasem, Jurgen, 1997. "A study on decentralizing from acute care to home care settings in Germany," Health Policy, Elsevier, vol. 41(Supplemen), pages 109-129, September.
    7. Tianyan Hu & Sandra L. Decker & Shin-Yi Chou, 2014. "The Impact of Health Insurance Expansion on Physician Treatment Choice: Medicare Part D and Physician Prescribing," NBER Working Papers 20708, National Bureau of Economic Research, Inc.
    8. Subal C. Kumbhakar & Christopher F. Parmeter & Valentin Zelenyuk, 2022. "Stochastic Frontier Analysis: Foundations and Advances I," Springer Books, in: Subhash C. Ray & Robert G. Chambers & Subal C. Kumbhakar (ed.), Handbook of Production Economics, chapter 8, pages 331-370, Springer.
    9. Seungchul Lee & Robert Rosenman, 2013. "Reimbursement and Investment: Prospective Payment and For-Profit Hospitals’ Market Share," Journal of Industry, Competition and Trade, Springer, vol. 13(4), pages 503-518, December.
    10. Karlaftis, Matthew G. & Tsamboulas, Dimitrios, 2012. "Efficiency measurement in public transport: Are findings specification sensitive?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 46(2), pages 392-402.
    11. Tovar, Beatriz & Wall, Alan, 2015. "Can ports increase traffic while reducing inputs? Technical efficiency of Spanish Port Authorities using a directional distance function approach," Transportation Research Part A: Policy and Practice, Elsevier, vol. 71(C), pages 128-140.
    12. Jacques H. Drèze, 1997. "Sur la spécificité économique des soins de santé," Économie et Prévision, Programme National Persée, vol. 129(3), pages 1-9.
    13. William Griffiths & Xiaohui Zhang & Xueyan Zhao, 2010. "A Stochastic Frontier Model for Discrete Ordinal Outcomes: A Health Production Function," Department of Economics - Working Papers Series 1092, The University of Melbourne.
    14. Santiago Herrera & Gaobo Pang, 2008. "Eficiency of Infrastructure: The Case of Container Ports," Economia, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics], vol. 9(1), pages 165-194.
    15. Samuel Fankhauser & Thomas K.J. McDermott, 2013. "Understanding the adaptation deficit: why are poor countries more vulnerable to climate events than rich countries?," GRI Working Papers 134, Grantham Research Institute on Climate Change and the Environment.
    16. Braendle, Thomas & Colombier, Carsten, 2020. "Budgetary targets as cost-containment measure in the Swiss healthcare system? Lessons from abroad," Health Policy, Elsevier, vol. 124(6), pages 605-614.
    17. Anlauf, Markus & Wigger, Berthold U., 1999. "Health insurance and consumer welfare : The case of monopolistic drug markets," Discussion Papers 565, Institut fuer Volkswirtschaftslehre und Statistik, Abteilung fuer Volkswirtschaftslehre.
    18. Faridah Djellal & Camal Gallouj & Faïz Gallouj, 2004. "De l'hôpital-fonction de production à l'hôpital service complexe et noeud de réseaux : Les différentes facettes de l'innovation hospitalière," Post-Print halshs-01247786, HAL.
    19. Magnus Lindelow, 2003. "Understanding spatial variation in the utilization of health services: does quality matter?," Economics Series Working Papers WPS/2004-12, University of Oxford, Department of Economics.
    20. Carlos Pestana Barros & Peter Wanke & Otávio Figueiredo, 2015. "The Brazilian Soccer Championship: an efficiency analysis," Applied Economics, Taylor & Francis Journals, vol. 47(9), pages 906-915, February.

    More about this item

    Keywords

    Health Care; Efficiency; Stochastic Frontier;
    All these keywords.

    JEL classification:

    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eaa:aeinde:v:11:y:2011:i:1_1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: M. Carmen Guisan (email available below). General contact details of provider: http://www.usc.es/economet/eaa.htm .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.