Public Health Nursing Practice Exam

What analysis evaluates both direct and indirect client care costs in a home health setting?

1. Program decision making

2. Cost-effectiveness

3. Cost-efficiency

4. Perceived value

The correct answer is: Cost-efficiency

The analysis that evaluates both direct and indirect client care costs in a home health setting is accurately identified as cost-efficiency. This term refers to the assessment of how effectively resources are utilized to provide care while considering all associated costs. In the context of home health, direct costs might include expenses such as nursing visits and medications, while indirect costs could encompass factors like transportation, caregiver time, and other ancillary services. Understanding cost-efficiency is crucial for home health organizations as it helps them determine the value of their services in relation to the costs incurred. This analysis supports decision-making by identifying areas where resources could be optimized to achieve better health outcomes while minimizing expenditures. Evaluating both direct and indirect costs ensures a comprehensive view of the financial implications of care, which is essential for maintaining sustainable home health services.