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Hospital Technical Efficiency Measurement Through of a Stochastic Frontier Cost Panel

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  • João Serafim Tusi da Silveira
  • Lucélia Ivonete Juliani
  • Lucas Veiga Ávila
  • José Tavares De Borba

Abstract

This article aims to evaluate the relative technical efficiency of the three clinics belonging to the University Hospital of the Federal University of Santa Catarina, RS, Brazil, in a two years period. The specification of the econometric model includes the analysis of productive sectors from the same institution in different periods of time. A stochastic frontier cost CD function using the composed error model was estimated by maximum likelihood (MLE) for a monthly data panel. The efficiency measures were computed using the formula adapted to the costs, based on parameters estimated by MLE. The results are encouraging and intriguing, especially regarding the inclusion of new variables, the expansion of the sample and the real utility of the efficiency ratios in the effective management task of productive resources within a single firm.

Suggested Citation

  • João Serafim Tusi da Silveira & Lucélia Ivonete Juliani & Lucas Veiga Ávila & José Tavares De Borba, 2016. "Hospital Technical Efficiency Measurement Through of a Stochastic Frontier Cost Panel," International Business Research, Canadian Center of Science and Education, vol. 9(11), pages 208-214, November.
    • Handle: RePEc:ibn:ibrjnl:v:9:y:2016:i:11:p:208-214
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    References listed on IDEAS

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    More about this item

    Keywords

    hospital technical efficiency; stochastic frontier cost panel; econometric model;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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