Does Managed Care Matter? Hospital Utilization in the U.S. Between 1985 and 1993

40 Pages Posted: 17 Dec 1999

See all articles by Farasat A. S. Bokhari

Farasat A. S. Bokhari

University of East Anglia (UEA) - School of Economic and Social Studies; University of East Anglia (UEA) - Centre for Competition Policy

Jonathan P. Caulkins

Carnegie Mellon University

Martin Gaynor

Carnegie Mellon University; National Bureau of Economic Research (NBER); Leverhulme Centre for Market and Public Organisation

Douglas R. Wholey

University of Minnesota - Twin Cities - School of Public Health

Date Written: May 1997

Abstract

This paper examines the effect of HMO market development on hospital utilization in short term general hospitals in the U.S. between 1985 and 1993. HMO penetration does not explain the majority or even a substantial minority of the variation in hospital utilization. Among seven measures of hospital utilization, the association between inpatient days per capita and variation in HMO penetration is the strongest with 20% of the 9% decrease in inpatient days attributable to HMOs. The association between HMO penetration and other utilization measures is even smaller. The results suggest that change in hospital utilization over the period 1985 to 1993 was attributable more to factors such as technological change than to HMOs.

JEL Classification: I11

Suggested Citation

Bokhari, Farasat A. S. and Caulkins, Jonathan P. and Gaynor, Martin and Wholey, Douglas R., Does Managed Care Matter? Hospital Utilization in the U.S. Between 1985 and 1993 (May 1997). Available at SSRN: https://ssrn.com/abstract=192828 or http://dx.doi.org/10.2139/ssrn.192828

Farasat A. S. Bokhari (Contact Author)

University of East Anglia (UEA) - School of Economic and Social Studies ( email )

Norwich, Norfolk NR4 7TJ
United Kingdom

University of East Anglia (UEA) - Centre for Competition Policy ( email )

UEA
Norwich Research Park
Norwich, Norfolk NR47TJ
United Kingdom

Jonathan P. Caulkins

Carnegie Mellon University ( email )

Pittsburgh, PA 15213-3890
United States

Martin Gaynor

Carnegie Mellon University ( email )

H. John Heinz III School of Public Policy
and Management
Pittsburgh, PA 15213-3890
United States
412-268-7933 (Phone)
412-268-5338 (Fax)

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Leverhulme Centre for Market and Public Organisation

12 Priory Road
Bristol BS8 1TN
United Kingdom

Douglas R. Wholey

University of Minnesota - Twin Cities - School of Public Health ( email )

15-223 Phillips-Wangensteen Building
Box 729, 420 Delaware Street SE Division of Health Services Research
Minneapolis, MN 55455-0392
United States
(612) 626-4682 (Phone)
(612) 624-2196 (Fax)

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
154
Abstract Views
1,326
rank
200,867
PlumX Metrics