Identifying Input Excess and Output Shortfall in the Indian Health Systems Using Non-radial Slack Based Data Development Analysis

Nutan Shashi Tigga (), Pinak Sarkar and Nachiket Mor ()
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Nutan Shashi Tigga: O P Jindal Global University
Pinak Sarkar: Lal Bahadur Shastri Institute of Management
Nachiket Mor: The Banyan Academy of Leadership in Mental Health

A chapter in Advances in the Theory and Practice of Data Envelopment Analysis, 2025, pp 336-349 from Springer

Abstract: Abstract We analyse the efficiency of India’s health system by assessing input excesses and output shortfalls, specifically focusing on government health expenditure, health personnel, and public hospital against the infant survival rate as output. Using time-series data from 2014-15 to 2019-20 of 21 states, our non-radial, non-oriented, Slack-Based Measure Data Envelopment Analysis (DEA) model yields an average efficiency score of 84%, highlighting significant potential for improvement. Bihar showed efficiency despite resource constraints, while Himachal Pradesh remained inefficient. These findings suggest reallocating resources to health services in underperforming states and encourage collaboration with the private sector in states like Kerala and West Bengal, which have higher private expenditure. This study uniquely employs slack-based DEA to compare India’s health system during the specified period.

Keywords: Efficiency; Slack-based Measure Data Envelopment Analysis; government health expenditure; health system; Infant Survival Rate; I100; I140; I150; I180; C610; C670 (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:lnopch:978-3-031-98177-7_23

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DOI: 10.1007/978-3-031-98177-7_23

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