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Estimating an hedonic translog cost function for the home health care industry

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  • Cynthia Dudzinski
  • O. Homer Erekson
  • Andrea Ziegert

Abstract

Medicare home health care plays an important role in providing cost effective care for the chronically ill and elderly. Long seen as a cost effective substitute for nursing home care, home care has become even more important with expenditures increasing by 31.4% from 1990 to 1996. The purpose of this paper is to provide a short run cost analysis of a sample of home health care providers to gain insight into the efficient provision of home health care services. This paper is a significant improvement over previous studies in that it uses a nationwide database to more accurately represent the multiproduct nature of the industry and uses an hedonic translog cost estimation with desirable economic properties.

Suggested Citation

  • Cynthia Dudzinski & O. Homer Erekson & Andrea Ziegert, 1998. "Estimating an hedonic translog cost function for the home health care industry," Applied Economics, Taylor & Francis Journals, vol. 30(9), pages 1259-1267.
    • Handle: RePEc:taf:applec:v:30:y:1998:i:9:p:1259-1267
    DOI: 10.1080/000368498325147
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    Cited by:

    1. Lila Truett & Dale Truett, 2006. "Production and costs in the South African motor vehicle industry," Applied Economics, Taylor & Francis Journals, vol. 38(20), pages 2381-2392.
    2. Vivian G. Valdmanis & Michael D. Rosko & Hervé Leleu & Dana B. Mukamel, 2017. "Assessing overall, technical, and scale efficiency among home health care agencies," Health Care Management Science, Springer, vol. 20(2), pages 265-275, June.
    3. Theis Theisen, 2020. "Municipalities’ Decision to Care: At Home or in a Nursing Home," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 26(4), pages 327-342, November.
    4. Jeong-Dong Lee & Chansoo Park & Dong-Hyun Oh & Tai-Yoo Kim, 2008. "Measuring consumption efficiency with utility theory and stochastic frontier analysis," Applied Economics, Taylor & Francis Journals, vol. 40(22), pages 2961-2968.

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