Delivery of Health Care Service in the Organization of Islamic Cooperation (OIC) Member States and Regional Diversity: A Bootstrap Dea Analysis

Abstract

For the last few decades, demographic changes require new and expensive medical innovations, which ultimately put the health care system under financial pressure. Therefore, provision of efficient services for the sustainability in health care system is mandatory. The objective of this study is to explore the performance of health care services provided in 55 OIC member countries during 2011 and 2015.The bootstrap Data Envelopment Analysis and Truncated regression approach have been applied to observe the health system and estimate the efficiency score in 55 OIC member countries. The findings of DEA show that cost efficiency (CE), technical efficiency (TE) and allocative efficiency (AE) of health care system of OIC member countries on average are 0.52, 0.72, and 0.70, respectively. It indicates that OIC countries are not good at selecting cost efficient input mix. The results of truncated regression approach indicate that out-pocket health expenditures is the most important determinant relative to other indicators. It is suggested that it is hard to improve the overall health system at most efficient level. For this purpose there is a need to educate the mass and provide the better opportunities so that people can earn handsome amount, through which they may have better health care.