Does Where You are Admitted Make a Difference? An Analysis of Medicare Data

46 Pages Posted: 17 Feb 1999 Last revised: 8 May 2000

See all articles by Frank A. Sloan

Frank A. Sloan

Duke University - Center for Health Policy, Law and Management; Duke University, Fuqua School of Business-Economics Group; Duke University - Department of Economics; National Bureau of Economic Research (NBER)

Gabriel Picone

Department of Economics

Donald H. Taylor

Duke University - Center for Health Policy, Law and Management

Shin-Yi Chou

Lehigh University - Department of Economics; National Bureau of Economic Research (NBER)

Date Written: January 1999

Abstract

This study investigated whether the type of hospital in which a Medicare beneficiary is admitted for hip fracture, stroke, coronary heart disease, or congestive heart failure matters in terms of amount and timing of Medicare payments and survival. In total, government hospitals were the least expensive for Medicare, with major teaching hospitals being most expensive within 6 months of admission after the index even. Survival was best in major teaching hospitals. When considering payments subsequent to those for the initial hospitalization, Medicare spent more for patients admitted to for-profit hospitals than for those admitted to other non-teaching facilities survival. Payments on behalf of patients treated in for-profit hospitals were higher for Medicare Part B and home health, especially during the first two months following discharge from the initial hospital. Results of our research suggest that Medicare has a definite financial interest in where Medicare beneficiaries are admitted for their hospital care.

Suggested Citation

Sloan, Frank A. and Picone, Gabriel and Taylor, Donald H. and Chou, Shin-Yi, Does Where You are Admitted Make a Difference? An Analysis of Medicare Data (January 1999). NBER Working Paper No. w6896. Available at SSRN: https://ssrn.com/abstract=147377

Frank A. Sloan (Contact Author)

Duke University - Center for Health Policy, Law and Management ( email )

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Duke University, Fuqua School of Business-Economics Group ( email )

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Duke University - Department of Economics ( email )

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Donald H. Taylor

Duke University - Center for Health Policy, Law and Management ( email )

Box 90253
Durham, NC 27708
United States
(919) 684-2361 (Phone)
(919) 684-6426 (Fax)

Shin-Yi Chou

Lehigh University - Department of Economics ( email )

620 Taylor Street
Bethlehem, PA 18015
United States

National Bureau of Economic Research (NBER) ( email )

1050 Massachusetts Avenue
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