Making Profits and Providing Care: Comparing Nonprofit, For-Profit, and Government Hospitals

Posted: 26 Jul 2007  

Jill R. Horwitz

UCLA School of Law; National Bureau of Economic Research (NBER)

Abstract

Three types of entities - nonprofit, for-profit, and government - own hospitals. Yet we know neither whether hospital types specialize in different medical services nor how service profitability affects specialization. In this econometric analysis of American Hospital Association data for every U.S. urban, acute care hospital (1988-2000), more than thirty services were categorized as relatively profitable, unprofitable, or variable. For-profits are most likely to offer relatively unprofitable services,; nonprofits often fall in the middle. For-profits are also more responsive to changes in service profitability than the other two types.

Keywords: non-profit, for-profit, government hospitals

Suggested Citation

Horwitz, Jill R., Making Profits and Providing Care: Comparing Nonprofit, For-Profit, and Government Hospitals. Health Affairs, Vol. 24, No. 3, 2005. Available at SSRN: https://ssrn.com/abstract=1002697

Jill R. Horwitz (Contact Author)

UCLA School of Law ( email )

Box 951476
Los Angeles, CA 90095-1476
United States
310-206-1577 (Phone)

National Bureau of Economic Research (NBER) ( email )

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

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