The Economic Cost of Informal Caregiving to In-patients: The Case of Jimma University Referral Hospital in Jimma, Ethiopia

This study analyses the economic cost of providing informal healthcare with special emphasis on the labor market-related opportunity costs of informal caregiving to in-patients at the Jimma University Referral Hospital (Jimma University Teaching Hospital). The study uses primary data collected from 238 respondents (principal informal caregivers). It conducts an empirical analysis by using the ordinary least squares (OLS) method of regression with the help of the analysis software STATA 13. The estimation results show that paid job experience, educational levels and employment status (with the exception of temporary employment) are statistically significant and positively related to the logarithm of the value or the cost of informal care through the wage difference. Unexpectedly, the number of external caregivers positively relate to the logarithm of informal caregiving. On the other hand, the age of informal care recipients and the interaction term (female informal caregivers from urban areas) is also statistically significant and negatively related to the logarithm of the value of informal care. Based on its findings this study recommends the government’s intervention and that of other concerned bodies in generating awareness about policies, providing financial support and work accommodation and improving accessibility and facilities in the hospital.