Soft budget constraints in Polish public healthcare entities

The scale of soft budget constraints in public hospitals in Poland is not well recognised. This lack of knowledge is alarming, especially given many Polish hospitals' significant debt issues. The study aims to delve into the regulatory and legal aspects of soft budget constraints in healthcare institutions, specifically public hospitals in Poland, and to assess how these constraints impact their operations. The research clearly shows that various soft budget restrictions are in place in hospitals. The reliance of public hospitals on local governments, coupled with the widespread healthcare debt, poses a significant challenge. The study confirms that the failure to eliminate soft budget constraints through hospital commercialisation is primarily due to the mismatch between the hospital commercialisation reform and the financial status of local authorities.

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