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A Benefit-Cost Analysis of Private and Semi-Private Hospital Rooms

Published online by Cambridge University Press:  07 June 2021

Anthony E. Boardman  and
Diane Forbes
Anthony E. Boardman
Affiliation:
University of British Columbia
Diane Forbes
Affiliation:
HEP Consulting
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Abstract

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The design of new hospital inpatient rooms is moving towards private (single occupancy) rooms. These rooms are generally preferred by patients and they may improve patient care, but they are more expensive to build and to staff than semi-private rooms. The question of their societal worth is important because hospitals are expensive, long-term investments and, once built, are prohibitively expensive to change. This paper presents a benefit-cost analysis of private rooms versus semi-private rooms in a proposed new hospital. We estimate that the net social benefit of a bed in a private room is about $70,000 more than a bed in a semi-private room.

Keywords

benefit-cost analysisacute care hospital room occupancyhealth care financing
Type
Article
Information
Journal of Benefit-Cost Analysis , Volume 2 , Issue 1 , 03 January 2011 , pp. 1 - 27
Copyright
Copyright © Society for Benefit-Cost Analysis 2011

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