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Related Experiment Videos

Hospital financing in Norway.

F Carlsen1

  • 1Department of Economics, University of Trondheim, Norway.

Health Policy (Amsterdam, Netherlands)
|April 8, 1994
PubMed
Summary

Norway

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Area of Science:

  • Health economics
  • Public health policy

Background:

  • The Norwegian government decentralized hospital financing in 1980, allocating block grants to counties.
  • This aimed to improve primary care, regional equity, and hospital efficiency.

Purpose of the Study:

  • To review Norwegian hospital financing over two decades.
  • To analyze the outcomes of the 1980 block grant reform.

Main Methods:

  • Historical overview of Norwegian hospital financing policies.
  • Analysis of the 1980 block grant reform and subsequent reversals.

Main Results:

  • The 1980 block grant reform aimed to decentralize authority and incentivize efficiency.
  • Reversals in the 1990s reintroduced restrictions and performance-based funding.
  • The system did not fully meet its initial objectives.

Conclusions:

  • The Norwegian block grant reform for hospital financing had limited success.
  • Decentralization and performance-based elements require careful design to achieve intended outcomes.