The economic efficiency of any organization is based on the mentality of its directors. Hospitals are important organizations in terms of economic and health activities must inevitably have a proper economic decision making policy. Considering the general inefficiency of Iranian hospitals and their wasteful performance, the present study performed to describe and analyze the economic thinking among our hospitals" managerial boards. Teaching hospitals affiliated toTehran Medical Sciences University were chosen as the setting for this study and a cross-sectional approach used to find reasons for economic inefficiency in these hospitals. The study has focused on the mentality of the hospitals" decision-making bodies regarding various economic concepts, particularly those relevant to health and hospital economics. Hospital directors and managers together with heads of nursing, accounting andmaintenance departments and administration officers were considered as members of decision-making bodies. On the whole 50 persons were interviewed as the study sample. Collected data was processed using the EPl program.Knowledge of the members was measured on a 3-point scale: appropriate (positive) , inappropriate (negative), and intermadiate(midpoint).. Generally, none of the members had an appropriate level of knowledge about hospital economics, in 50% of the interviewees the knowledge was at midpoint level and the remaineder had an inappropriate level of knowledge.. The appropriate levels of knowledge of the economic losses caused by nosocomial infections, insurance issues, cost, budget, cost analysis and payment methods were observed in 24%, 20%, 8% , 8%, 0%, and 6%, respectively.Further analysis demonstrated that there are statistically significant relationships between:. Sex and knowledge of hospital economics and cost concepts,. Age and knowledge of cost analysis methods,. Educational achievement and knowledge of economic costs of hospital-acqired infections,. Length of service (working experience) and knowledge of economic costs of nosocomial infections,. Organizational rank and knowledge of hospital economics, cost, budget, and costs of nosocomial infection. Hospital accreditation scores and knowledge of the costs of nosocomial infections