African Wilderness Medicine | 10 May 2009

Panel Data Estimation for Evaluating Cost-Effectiveness of District Hospitals in Ghana: A Methodological Assessment

K, o, f, i, A, s, a, r, e, ,, E, s, i, A, f, r, i, y, a, n, i, ,, Y, a, w, O, f, o, r, i

Abstract

District hospitals in Ghana play a crucial role in providing healthcare services to rural populations. However, their effectiveness and cost-effectiveness are not well understood due to limited data and methodological challenges. A mixed-method approach combining quantitative panel-data analysis with qualitative interviews was employed. Panel data from five randomly selected districts were analysed over a period of three years, accounting for both fixed and random effects to ensure robustness. The estimated cost-effectiveness ratio (CER) varied significantly across the districts, ranging from 0.85 to 1.25. District X showed the highest CER at 1.10, indicating a more efficient use of resources compared to other areas. This study provides valuable insights into the cost-effectiveness and resource allocation in district hospitals within Ghana's healthcare system. Based on this analysis, targeted interventions should focus on improving service delivery efficiency and financial management practices in lower-performing districts. Treatment effect was estimated with $\text{logit}(p<em>i)=\beta</em>0+\beta^\top X_i$, and uncertainty reported using confidence-interval based inference.