Demeke, Mulat (PhD)Kedir, Abdu2018-06-212023-11-042018-06-212023-11-042006-07http://etd.aau.edu.et/handle/123456789/2551The study measured the technical efficiency of seventeen hospitals in Addis Ababa using a five year panel data(2000/01-2004/05) employing both parametric and non-parametric models. We used DEA and DEA-Malmquist models (non-parametric approach) to identify the level of efficiency of hospitals, while determinants of technical efficiency were examined using a censored-Tobit regression model (parametric approach). Results of the CRS DEA model showed that 5(29.4%) hospitals were found technically Efficient, while 12(70.6%) were inefficient. The VRS DEA model indicated 9(52.9%) Hospitals were technically efficient and 8(47.1%) Hosppitals were technically inefficient. Out of the sampled hospitals, 5(29.4%) hospitals were found scale efficient, while12 (70.6%) were scale inefficient. The results of the censored-Tobit model indicated that age, size, teaching status, average bed occupancy rate and number of medical doctors to total staff were found significantly associated with technical efficiency scores.enEconomic Policy AnalysisThesis