This research examines the impact of omitted variables on the accuracy of parametric hospital cost function estimations based on Québec hospital level data. We assess the effect of omitted variables resulting from incomplete data on technology and performance measurement and on tests of the cost minimizing behavior of the institution. Our results show that important characteristics of hospital ...

The cost absorbs all the expenses of production for a company at a certain level of the activity. For eliminating the influence of the fixed costs’s absorbtion and for a better supervision of other causes of digressions, the managers can apply the method of rational imputation of the fixed costs. The managers should, in some cases, take into consideration the total costs and not the unit costs....

the management of machine replacement (specifically tractors) is one of the most critical factors for performing field operations on time. therefore, tractor repair and maintenance costs must be accurately predicted. this research was carried out to evaluate the use of the regression technique in predicting tractor repair and maintenance costs. the study was conducted using empirical data on 60...