© 1995

Hospital Cost Analysis


Part of the Developments in Health Economics and Public Policy book series (HEPP, volume 3)

Table of contents

  1. Front Matter
    Pages i-xxii
  2. Introduction

    1. J. R. G. Butler
      Pages 1-5
  3. Theoretical Considerations

  4. Empirical Results

  5. Hospital Cost Analysis and Hospital Payment Schemes

    1. Front Matter
      Pages 297-297
    2. J. R. G. Butler
      Pages 355-362
  6. Back Matter
    Pages 363-393

About this book


Hospital Cost Analysis provides an overview of theoretical developments in the economic analysis of production and costs in the multiproduct firm, and discusses these developments. Following a lucid explanation of the concepts of jointness, input/output separability and returns to scale, a detailed discussion of the concept measurement and classification of hospital output is provided. A fundamental dilemma confronting economists interested in estimating hospital cost functions is highlighted, viz. the trade-off between flexibility in functional form and homogeneity within hospital output categories. Empirical results on the effects of case mix, scale and utilisation, public/private ownership, and the centralised administration of hospital systems on hospital costs are presented. The implications of hospital cost analysis for public policy with respect to hospital payment schemes, including schemes based on Diagnosis Related Groups (DRGs), are also considered. This book brings together the literature on hospital cost analysis with theoretical developments in the analysis of the multiproduct cost functions. It will be of considerable interest to teachers and students of health economics and health policy advisers interested in the determinants of hospital costs and the design of hospital payment schemes.


calculus economics health health policy hospital production

Authors and affiliations

  1. 1.Department of EconomicsThe University of NewcastleAustralia

Bibliographic information

  • Book Title Hospital Cost Analysis
  • Authors J. R. Butler
  • Series Title Developments in Health Economics and Public Policy
  • DOI
  • Copyright Information Kluwer Academic Publishers 1995
  • Publisher Name Springer, Dordrecht
  • eBook Packages Springer Book Archive
  • Hardcover ISBN 978-0-7923-3247-3
  • Softcover ISBN 978-94-010-4080-8
  • eBook ISBN 978-94-011-0179-0
  • Series ISSN 0927-4987
  • Edition Number 1
  • Number of Pages XXII, 393
  • Number of Illustrations 0 b/w illustrations, 0 illustrations in colour
  • Topics Microeconomics
    Economic Policy
    Public Health
  • Buy this book on publisher's site
Industry Sectors
Finance, Business & Banking