This study evaluated the effects of three different kinds of user fee on th
e quality of prescribing in rural Nepal. Using data from 33 public health f
acilities, we performed a controlled before-and-after study, comparing a fe
e per prescription (covering all drugs in whatever amounts) against one-and
two-band fees per drug item (covering a full course of treatment for each
item). With the one-band item fee, each item incurred the same fee; with th
e two-band item fee, more expensive items incurred a higher fee and cheaper
ones a lower fee. Thirteen indicators of prescribing quality were evaluate
d based on an average of 400 prescribing episodes per facility per year. Th
e percentage of prescriptions conforming to standard treatment guidelines w
as 12% (95% confidence interval [CI] 3% to 21%) and 15% (95% CI 6% to 24%)
greater with the one- and two-band item fees, respectively, than with the f
ee per prescription. Prescribing quality improved through a reduction in th
e number of unnecessary, but not necessary, drug items prescribed per patie
nt. Item-based fees are associated with significantly better prescribing qu
ality than a fee per prescription; therefore, item-based fees are preferred
over a fee per prescription when considering methods of cost recovery. (C)
2001 Elsevier Science Inc. All rights reserved.