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4 "Cost-Benefit Analysis"
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Original Articles
Cost-Benefit Analysis on Community Health Practitioner
Tae Wha Lee, Il Sun Ko
Journal of Korean Academy of Nursing 2002;32(4):435-446.   Published online March 29, 2017
DOI: https://doi.org/10.4040/jkan.2002.32.4.435
AbstractAbstract PDF

PURPOSE: The purpose of the study were to describe outcomes of CHP activities, and to evaluate the economic validity of CHP through a cost-benefit analysis. METHOD: The sample size was 272. Data were collected using a researcher developed questionnaire from November 1999 to March, 2000. RESULT: The mean age of CHPs was 39.6 (SD=.36). In regard to marital status, 90.8% of the respondents were married. 72% of the CHPs had associate degree. Among CHP activities, providing medical services was 50%, followed by home care visits 20% and health promotion services 20%, preventive services 10%. Total costs per month incurred to CHP activities was won3,053,437($2,442.7). Total benefits per month was won6,711,525($5,369.2). Hence, net benefit was calculated as won3,658,089($2,926).
CONCLUSION
Cost-benefit ratio was 2.20, which provides the evidence of the economic viability of CHP program. The result of cost-benefit analysis, however, would more strongly support the economic value of CHP if intangible benefits of CHP activities such as decreases in pain and suffering and increased quality of life, could be counted.

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Economic Effect of Home Health Care Services for Community-dwelling Vulnerable Populations
Eunhee Lee, Jinhyun Kim
J Korean Acad Nurs 2016;46(4):562-571.   Published online August 31, 2016
DOI: https://doi.org/10.4040/jkan.2016.46.4.562
AbstractAbstract PDF
Purpose

In this study the costs and benefits of a home health care program were examined to evaluate the economic feasibility of the program.

Methods

The study participants included 349 patients in the community who had been registered at a home health care center for 5 years. The costs and benefits of the program were analyzed using performance data and health data. The benefits were classified as the effects of pressure ulcer care, skin wound care and catheters management. The program effect was evaluated on the change of progress using transition probability. Benefits were divided into direct benefit such as the savings in medical costs and transportation costs, and indirect benefits which included saving in productivity loss and lost future income.

Results

Participants had an average of 1.82 health problems. The input cost was KRW 36.8~153.3 million, the benefit was KRW 95.4~279.7 million. Direct benefits accounted for 53.4%~81.2%, and was higher than indirect benefits. The net benefit was greater than 0 from 2006 to 2009, and then dropped below 0 in 2010.

Conclusion

The average net benefit during 5 years was over 0 and the benefit cost ratoi was over 1.00, indicating that the home health care program si economical.

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Economic Evaluation of a Workplace Occupational Health Nursing Service: Based on Comparison with Atmospheric Environment Managing Engineer
Hye-Sun Jung, Bokim Lee
J Korean Acad Nurs 2013;43(4):507-516.   Published online August 30, 2013
DOI: https://doi.org/10.4040/jkan.2013.43.4.507
AbstractAbstract PDF
Purpose

The purpose of this study was to use cost-benefit analysis of activity to clarify the economic effect of prepared nurses versus atmospheric environment managing engineers as healthcare managers.

Methods

For the study 111 workplaces were surveyed, workplaces in which nurses or atmospheric environment managing engineers were employed as healthcare managers. The survey content included annual gross salaries, participation in external job training, costs in joining association covered by the company, location and year of construction of the healthcare office, various kinds of healthcare expenditures, costs in operating healthcare office, health education, and activity performance in the work of environment management.

Results

In the case of the healthcare manager being a nurse, benefit was larger than input costs at a ratio of 2.31. On the other hand, in the case of healthcare manager being an atmospheric environment managing engineer, input costs were larger than benefits (benefit-cost ratio 0.88).

Conclusion

Results indicate that nurses are an effective healthcare human resource and can offer good quality healthcare service. Therefore companies should hire nurses and actively promote the economic efficiency of nurses in workplace.

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Comparison of Benefit Estimation Models in Cost-Benefit Analysis: A Case of Chronic Hypertension Management Programs
Ji Young Lim, Mi Ja Kim, Chang Gi Park, Jung Yun Kim
J Korean Acad Nurs 2011;41(6):750-757.   Published online December 31, 2011
DOI: https://doi.org/10.4040/jkan.2011.41.6.750
AbstractAbstract PDF
Purpose

Cost-benefit analysis is one of the most commonly used economic evaluation methods, which helps to inform the economic value of a program to decision makers. However, the selection of a correct benefit estimation method remains critical for accurate cost-benefit analysis. This paper compared benefit estimations among three different benefit estimation models.

Methods

Data from community-based chronic hypertension management programs in a city in South Korea were used. Three different benefit estimation methods were compared. The first was a standard deterministic estimation model; second, a repeated-measures deterministic estimation model; and third, a transitional probability estimation model.

Results

The estimated net benefit of the three different methods were $1,273.01, $-3,749.42, and $-5,122.55 respectively.

Conclusion

The transitional probability estimation model showed the most correct and realistic benefit estimation, as it traced possible paths of changing status between time points and it accounted for both positive and negative benefits.

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