Rural Versus Urban Hospitals in Poland. Hospital's Financial Health Assessment

Literature studies suggest, that hospitals in rural areas are usually smaller and more sensitive to changes in health policies. The aim of this research is to assess and compare the financial condition of rural and urban hospitals. Basing on literature studies, we have assumed, that rural hospitals are characterized by lower profitability, higher debt and lower overall financial condition. We have proved, that rural hospital, although smaller, have lower debt ratios and better financial condition (especially in terms of profitability and liquidity). We have applied statistical tool and authorial methodology (“The M Method”), which basis on synthetic indicators of financial condition.