Methodological Evaluation of District Hospitals Systems in Ethiopia Using Panel Data for Cost-Effectiveness Analysis

District hospitals in Ethiopia face significant challenges in providing cost-effective healthcare services. A systematic literature review was conducted, focusing on studies that utilised panel data methods to analyse the operational efficiency of district hospitals in Ethiopia. The methodologies evaluated included linear regression models and stochastic frontier analysis (SFA). The application of SFA revealed a significant improvement in cost-effectiveness when adjusting for inefficiencies. Panel data methods, particularly SFA, provide valuable insights into the operational efficiency and cost-effectiveness of district hospitals in Ethiopia. Further research should focus on validating these findings with additional datasets and exploring potential policy implications. Treatment effect was estimated with $\text{logit}(p_i)=\beta_0+\beta^\top X_i$, and uncertainty reported using confidence-interval based inference.