Learning Objective #1: Explain the cost-efffectiveness analysis method

Learning Objective #2: Understand the economical efficiency of home care services

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Purpose: The aim of this study was to analyze the cost-effectiveness of home care. Method: The analytic framework of this study was constructed in 4 stages: perspective of the analysis, measurement of costs, measurement of effects, and analysis of CER (Cost-Effectiveness Ratio). The perspective of this study was a social perspective. The cost was calculated by direct and indirect cost. The effectiveness was measured by ADL (Activities of Daily Living). CER consisted of total cost per ADL score. The SAS program was utilized for descriptive statistics, normality test and difference test. Result: The major results were as follows. The CER of home care was 175,876 cost/ADL at males, 171,801 cost/ADL at females, 212,855 cost/ADL under age 65, 152,270 cost/ADL age 65 and over, 171,793 cost/ADL with spouse, 186,539 cost/ADL without spouse. The CER of hospitalization was 344,199 cost/ADL at males, 328,605 cost/ADL at females, 377,948 cost/ADL under age 65, 290,983 cost/ADL age 65 and over, 352,314 cost/ADL with spouse, 313,995 cost/ADL without spouse. Conclusion: These findings affirmed that home care had an economical efficiency compared to hospitalization in the ADL. Therefore, these results will be used to develop governmental policy of public health services and also will contribute to an expansion of home care service nationally.