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Measuring Economic Performance of Colorado Community Hospitals Using the Malmquist Productivity Change Index

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  • Chul-Young Roh
  • M. Jae Moon
  • Changsuh Park

Abstract

This study measures the productivity of 64 Colorado community hospitals by applying the DEA-based Malmquist productivity change index, decomposed into the technical efficiency change index and technical progressive change index. This study finds that the productivity of community hospitals in Colorado increased over the period 1993–2003, mainly as a result of technical progressive changes rather than technical efficiency improvement. The results suggest that to increase productivity, large community hospitals, rural hospitals, and nonprofit and public hospitals need to downsize their facilities, change their cost structure and facility operations, or adopt new management practices.

Suggested Citation

  • Chul-Young Roh & M. Jae Moon & Changsuh Park, 2011. "Measuring Economic Performance of Colorado Community Hospitals Using the Malmquist Productivity Change Index," International Review of Public Administration, Taylor & Francis Journals, vol. 16(1), pages 91-111, April.
    • Handle: RePEc:taf:rrpaxx:v:16:y:2011:i:1:p:91-111
    DOI: 10.1080/12264431.2011.10805187
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    Cited by:

    1. Alexander Karmann & Felix Roesel, 2017. "Hospital Policy and Productivity – Evidence from German States," Health Economics, John Wiley & Sons, Ltd., vol. 26(12), pages 1548-1565, December.
    2. Kenan Oğuzhan Oruç & Fatma Gül Altın, 2015. "The Effect of the 2007 Financial Crisis on the Information Technologies Sector: Application of Malmquist Productivity Index Method," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 5(6), pages 1-11, June.
    3. Kenan Oğuzhan Oruç & Fatma Gül Altın, 2015. "The Effect of the 2007 Financial Crisis on the Information Technologies Sector: Application of Malmquist Productivity Index Method," International Journal of Business and Social Research, LAR Center Press, vol. 5(6), pages 1-11, June.

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