Evaluating the Financial Efficiency of the Healthcare System: A Three-Stage DEA Model Analysis

Aida S. Omir (), Aksana Zh. Panzabekova and Azimkhan A. Satybaldin
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Aida S. Omir: Institute of Economics of the Committee of Sciences Ministry of Science and Higher Education, Almaty, Kazakhstan; Turan University, Almaty, Kazakhstan; Almaty Management University, Almaty, Kazahkstan
Aksana Zh. Panzabekova: Institute of Economics of the Committee of Sciences Ministry of Science and Higher Education, Almaty, Kazakhstan
Azimkhan A. Satybaldin: Institute of Economics of the Committee of Sciences Ministry of Science and Higher Education, Almaty, Kazakhstan

R-Economy, 2023, vol. 9, issue 4, 353-365

Abstract: Relevance. Public health effectiveness is crucial for population health, especially in the face of global challenges like the COVID-19 pandemic. The study applies the Data Envelopment Analysis (DEA) model to measure the efficiency of operating costs in the health care system across various regions of Kazakhstan from 2017 to 2021. Existing methods for assessing healthcare effectiveness often overlook the system's complexity, which turns DEA into a valuable tool to identify inequalities in healthcare availability and quality. Research objective. This study aims to employ the DEA model to measure the efficiency of operating costs in the health care system across regions of Kazakhstan in 2017-2021. Data and methods. The DEA model was chosen for its ability to analyze the efficiency of operating costs. Data were collected from the Agency for Strategic Planning and Reforms of the Republic of Kazakhstan. Results. Our findings indicate the need for increased healthcare financing in specific regions, emphasizing the importance of transparent spending. The study concludes that the DEA model can regularly assess health financing, ensuring resources are directed where most needed. The novelty lies in establishing a link between financing and health outcomes. Conclusions. The study's results and methodology can be used by public health authorities in assessing operating costs' effectiveness, allocating resources judiciously, and making informed decisions to enhance the healthcare system.

Keywords: Healthcare system; efficiency analysis; regions; regional economy; Data Envelopment Analysis; Kazakhstan (search for similar items in EconPapers)
JEL-codes: C1 I18 (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:aiy:journl:v:9:y:2023:i:4:p:353-365

DOI: 10.15826/recon.2023.9.4.022

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