How Managed Care Affects Medicaid Utilization: A Synthetic Difference-in-Differences Zero-Inflated Count Model

44 Pages Posted: 14 Jan 1997

See all articles by Thomas J. Kniesner

Thomas J. Kniesner

Claremont Graduate University - Department of Economic Sciences; Syracuse University - Department of Economics; IZA

Deborah A. Freund

Syracuse University - Center for Policy Research

Anthony T. Lo Sasso

University of Illinois at Chicago - School of Public Health

Date Written: April 18, 1996

Abstract

We develop a synthetic difference-in-differences statistical design to apply to experimental data for adult women living in Hennepin County, Minnesota, to estimate the impact of Medicaid managed care on various modes of medical care use. Because the outcomes of interest are utilization counts with many persons using none of a particular mode of care we use count regression models that are adjusted for excessive zeros. We find no reductions in physician visits or hospital inpatient and emergency department care use, but reductions in hospital outpatient care. Simulations designed to judge the economic significance of our results suggest a program effect that is a savings of about ten percent.

JEL Classification: I18, C25, C23

Suggested Citation

Kniesner, Thomas J. and Freund, Deborah A. and Lo Sasso, Anthony T., How Managed Care Affects Medicaid Utilization: A Synthetic Difference-in-Differences Zero-Inflated Count Model (April 18, 1996 ). Available at SSRN: https://ssrn.com/abstract=1603 or http://dx.doi.org/10.2139/ssrn.1603

Thomas J. Kniesner (Contact Author)

Claremont Graduate University - Department of Economic Sciences ( email )

Claremont, CA 91711
United States

Syracuse University - Department of Economics ( email )

Syracuse, NY 13244-1020
United States

IZA

P.O. Box 7240
Bonn, D-53072
Germany

Deborah A. Freund

Syracuse University - Center for Policy Research ( email )

Syracuse, NY 13244
United States

HOME PAGE: http://www-cpr.maxwell.syr.edu/faculty/freund/

Anthony T. Lo Sasso

University of Illinois at Chicago - School of Public Health ( email )

1603 West Taylor Street
Chicago, IL 60612
United States

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