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A Comparative Study of Performance between Public Medical Organizations and Private Medical Centers

  • Korean Society and Public Administration
  • Abbr : KSPA
  • 2014, 24(4), pp.29-52
  • Publisher : Seoul Association For Public Administration
  • Research Area : Social Science > Public Administration

Kim, Soon Eun 1 Choi Seonmi 2

1서울대학교
2서울대학교 행정대학원 박사과정

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ABSTRACT

While privatization of public medical centers has been under thoughtful consideration in Korea due to a lack of those profitability, empirical evidence is not sufficient enough to support that privation of medical institutions is supposed to promote profitability. The aim of this study is to analyze differences in medical performance between private medical centers and public medical institutions in an empirical way. Towards this end, on the basis of data of 321 general hospitals during the past five years between 2008 and 2012 empirical analyses with respect to medical performance were conducted in terms of output-input ratio. Indicators for input are the number of beds, doctors and the number of departments while those for output are the number of patients, income and the number of hospitalization. This study shows that the performance of public hospitals is better than that of private hospitals with respect to using facilities in terms of utilizing beds as well as using human resources in terms of utilizing doctors. However, private hospitals are better than public hospitals with respect to the level of income. In addition, performance comparison, controlled by the regional variable between the capital regions and the non-capital regions, turns out to be that there is difference in performance with respect to using facilities in terms of beds. That is, public hospitals in capital regions are better and private hospitals are better in non-capital regions. This result implies that the role of public hospital should be reconsidered in the process of delivering health and medical services.

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