Abstract

Abstract Public-sector health services in developing countries are widely perceived to be inefficient. Observers often note the evidence of inefficiency, such as low productivity with low patient loads, and staff idle during working hours; and poor practices in use of pharmaceuticals. A World Bank policy study on health-care financing in developing countries reinforced this perception when it identified ‘internal inefficiency − wasteful public programs of poor quality’ as one of the ‘three main problems in the health sector’ (World Bank 1987).

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