Relative Efficiency of Health Provision: a DEA Approach with Non-discretionary Inputs

Antonio Afonso and Miguel St. Aubyn ()

No 2006/33, Working Papers from Department of Economics at the School of Economics and Management (ISEG), Technical University of Lisbon.

Abstract: We estimate a semi-parametric model of health production process using a two-stage approach for OECD countries. By regressing data envelopment analysis output efficiency scores on non-discretionary variables, both using Tobit analysis and a single and double bootstrap procedure, we show that inefficiency is strongly related to GDP per head, the education level, and health behaviour such as obesity and smoking habits. The used bootstrapping procedure corrects likely biased DEA output scores taking into account that environmental variables are correlated to output and input variables.

Keywords: technical efficiency; health; DEA; bootstrap; semi-parametric. (search for similar items in EconPapers)
JEL-codes: C14 C61 H52 I11 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eff, nep-hea and nep-pbe
Date: 2006
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