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The estimation of production function among public hospitals of Kermanshah University of Medical Sciences (2001-11)

AUTHORS

avatar Behzad Karami Matin 1 , avatar Moslem Soofi 2 , avatar Saman Falahi 3 , avatar Ali Kazemi Karyani 4 , avatar Satar Rezaei 4 , *

1 Dept. of Public Health, School Health, Kermanshah University of Medical Sciences, Kermanshah, Iran

2 Social Development and Health Promotion Research Center, Kermanshah University of Medical Sciences, Kermanshah, Iran

3 Dept. of economics, school of Economics, University of Tehran, Tehran, Iran

4 Dept. of Health Management and Economics, School of Public Health, Tehran University of Medical Sciences, Tehran, Iran

How to Cite: Karami Matin B, Soofi M, Falahi S, Kazemi Karyani A, Rezaei S. The estimation of production function among public hospitals of Kermanshah University of Medical Sciences (2001-11). J Kermanshah Univ Med Sci. 2013;17(5):e77062.

ARTICLE INFORMATION

Journal of Kermanshah University of Medical Sciences: 17 (5); e77062
Published Online: August 29, 2013
Article Type: Research Article
Received: November 26, 2012
Accepted: February 26, 2013
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Abstract

Background: One method to increase the performance and efficient use of hospital resources is using tools of economic analysis such as production function. The aim of this study was the estimation of production function among public hospitals of Kermanshah University of Medical Sciences during 2001- 11 using Cub Douglas production function.
Methods: The data about the dependent variable (number of hospitalized patients) and explanatory variables (numbers of active beds, nurses, doctors and other staffs) for six public hospitals during 2001- 11 were collected using information form.  The Data was analyzed employing Eviews software version 6.
Results: The production elasticity and the marginal production for all inputs were positive. The marginal production of active beds, doctors, nurses and other staffs were 76.7, 73.7, 19.3 and 6.7 respectively. The results also showed that the return to scale was increasing and the total input coefficient was equal to 1.45. 
Conclusion: The maximum of elasticity and marginal production belonged to the active beds. This implies that the hospitals administrators in response to change demands can use active beds more than others inputs. Besides, the marginal production of other staffs was less than other studies, so incentive policies for effective and efficient use in hospital resources will be essential.

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© 2013, Journal of Kermanshah University of Medical Sciences. This is an open-access article distributed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/) which permits copy and redistribute the material just in noncommercial usages, provided the original work is properly cited.
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