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Analyzing the efficiency differences among basic health units in Sargodha District

Author

Listed:
  • Abbas, Touqeer
  • Awan, Masood Sarwar
  • Aslam, Muhammad Amir
  • Waqas, Muhammad

Abstract

Pakistan has adequate infrastructure for health services delivery at primary level. The study aims to calculate the technical efficiency of Basic Health Units (BHUs) in Sargodha by using the Data Envelopment Analysis (DEA) with the choice of inputs and outputs being specific to BHUs operation. DEA model results reveals that the mean technical efficiency under, Constant Returns to Scale (CRS) and Variable Returns to Scale (VRS) was 0.719 and 0.807 while the mean scale efficiency was 0.88. Study exposed that 77 % BHUs were technically inefficient under CRS while 66 % BHUs were technically inefficient under VRS modal. Overall 76% BHUs were inefficient and destructing the infrastructure. Moreover, findings evidently point to adverse inefficiency of BHUs in health services delivery. Study concluded that existing high level of inefficiency in BHUs needs institutional fascination for scaling up BHUs to meet both regional as well international targets such as Millennium Development Goals (MDGs) and recommended such measures that may curb the waste.

Suggested Citation

  • Abbas, Touqeer & Awan, Masood Sarwar & Aslam, Muhammad Amir & Waqas, Muhammad, 2011. "Analyzing the efficiency differences among basic health units in Sargodha District," MPRA Paper 32244, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:32244
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    File URL: https://mpra.ub.uni-muenchen.de/32244/1/MPRA_paper_32244.pdf
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    References listed on IDEAS

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    1. António Afonso & Sónia Fernandes, 2008. "Assessing Hospital Efficiency: Non-parametric Evidence for Portugal," Working Papers Department of Economics 2008/07, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
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    4. Gian Paolo Barbetta & Gilberto Turati & Angelo M. Zago, 2007. "Behavioral differences between public and private not-for-profit hospitals in the Italian national health service," Health Economics, John Wiley & Sons, Ltd., vol. 16(1), pages 75-96.
    5. Jos Blank & Vivian Valdmanis, 2010. "Environmental factors and productivity on Dutch hospitals: a semi-parametric approach," Health Care Management Science, Springer, vol. 13(1), pages 27-34, March.
    6. Chew Lian Chua & Alfons Palangkaraya & Jongsay Yong, 2011. "Hospital Competition, Technical Efficiency and Quality," The Economic Record, The Economic Society of Australia, vol. 87(277), pages 252-268, June.
    7. R. D. Banker & A. Charnes & W. W. Cooper, 1984. "Some Models for Estimating Technical and Scale Inefficiencies in Data Envelopment Analysis," Management Science, INFORMS, vol. 30(9), pages 1078-1092, September.
    8. Alfons Palangkaraya & Jongsay Yong, 2009. "Hospital Markets and the Effect of Competition on Quality," Melbourne Institute Working Paper Series wp2009n17, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
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    More about this item

    Keywords

    Basic Health Units; Technical Efficiency; Data Envelopment Analysis; Pakistan;

    JEL classification:

    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare

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