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Technical Efficiency, Specialization and Ownership Form: Evidences From a Pooling of Italian Hospitals

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Publication details

JournalJournal of Productivity Analysis
DateE-pub ahead of print - 22 Apr 2009
DatePublished (current) - Oct 2009
Issue number3
Volume32
Number of pages216
Pages (from-to)203
Early online date22/04/09
Original languageEnglish

Abstract

We evaluate how the productive structure and level of specialization of a hospital affect technical efficiency by analyzing a six-year panel database (2000/2005) drawn from hospital discharge records and Ministry of Health data. We adopt a distance function approach, while measuring the technical efficiency level with stochastic frontier techniques. After controlling for environmental variables and hospital case-mix, inefficiency is negatively associated with specialization and positively associated with capitalization. Capitalization is typical of private structures which, on average, use resources less efficiently with respect to public and not-for-profit hospitals. Finally, by looking at scale elasticities, we find some evidence of
unexploited economies of scale, leaving room for centralization.

    Research areas

  • Stochastic Frontiers, Hospital Discharge Reccords, Hospital Specialization, Distance Function, Technical Efficiency

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