Measurement of Hospital Efficiency, Using a Latent Class Stochastic Frontier Model

Carlos Pestana Barros (1) , António Gomes Menezes (2) , José António Cabral Vieira (3)

1 Economics
2 Economics
3 Economics

This paper analyses the technical efficiency of Portuguese hospitals from 1997 to 2008 with the latent class frontier model, enabling the identification of different segments in the cost frontier. It is found that there are three statistically significant segments in the sample, leading to the conclusion that no common health policy can be applicable to all of the hospitals analysed, calling rather for policies conceived for each hospital segment identified. The health policy based in the identified segments enables a more accurate and cost-effective management of resources.

Mots clés: Social Sciences & Humanities

Domaines: Économie et finance quantitative [q-fin]

Carlos Pestana Barros, António Gomes Menezes, José António Cabral Vieira. Measurement of Hospital Efficiency, Using a Latent Class Stochastic Frontier Model. Applied Economics, 2011, 45 (01), pp.47-54. ⟨10.1080/00036846.2011.579061⟩. ⟨hal-00732115⟩