To extend the analysis, physicians who did not perform routine placental cultures were also evaluated. During 1999–2003, their patients experienced 21 readmissions in 2,135 deliveries, a readmission rate of 9.84 per 1,000 deliveries. These readmissions resulted in total charges of $62,685.00, with an average charge of $2,985.00 (standard deviation of $1,297.51).

a. What is the difference between the rates of readmission among the physicians in question and among other physicians from 1999 to 2003?

b. What is the marginal cost-effectiveness ratio to determine the cost per health benefit associated with the additional charge of the placental cultures during 1999–2003?

c. What would be your recommendation to the medical staff and board of directors?