Adoption and Diffusion of Health Information Technology - The Case of Primary Care Clinics

50 Pages Posted: 10 Sep 2012

See all articles by Brantly Callaway

Brantly Callaway

Temple University

Vivek Ghosal

Rensselaer Polytechnic Institute; Center for Economic Studies and Ifo Institute for Economic Research (CESifo)

Multiple version iconThere are 2 versions of this paper

Date Written: August 31, 2012

Abstract

We empirically examine the determinants of adoption of information technology by primary healthcare clinics using a large sample of physician clinics from several States in the U.S. Ours is one of the first studies to intensively investigate primary care clinics. These clinics are important as they represent the frontlines in the delivery of services in this large and complex market. Our study generates several interesting results related to the adoption and diffusion of Health Information Technology (HIT), including: (1) the adoption probabilities vary considerably by the specific type of clinic; (2) in contrast to numerous studies in the broader technology adoption literature, we find little evidence to suggest a relationship between firm (clinic) size and the likelihood of adoption; (3) there appears to be no definitive relationship between the age of a clinic and the likelihood of adoption; (4) there is a strong effect of geographic location, as measured by specific types of urban and rural counties, on the likelihood of adoption; (5) market competitive forces appear to have a mixed influence on adoption; (6) there is a distinct State-specific effect suggesting that information privacy, medical malpractice laws and State initiatives may play an important role in adoption; and (7) HIT is diffusing at a faster rate over time. Our findings have the potential to provide a better understanding of the longer-run effectiveness and efficiency in the provision of healthcare, and crafting appropriate policy responses. We note some future extensions of our work.

Keywords: healthcare, primary care, health information technology, electronic medical records, technology, adoption, diffusion, urban and rural locations, competition, healthcare policy

JEL Classification: O330, I110, I180, M150, M210

Suggested Citation

Callaway, Brantly and Ghosal, Vivek, Adoption and Diffusion of Health Information Technology - The Case of Primary Care Clinics (August 31, 2012). CESifo Working Paper Series No. 3925. Available at SSRN: https://ssrn.com/abstract=2144183

Brantly Callaway

Temple University ( email )

Philadelphia, PA 19122
United States

HOME PAGE: http://brantlycallaway.com

Vivek Ghosal (Contact Author)

Rensselaer Polytechnic Institute ( email )

110 8th Street
Troy, NY 12180
United States
518-276-3868 (Phone)

HOME PAGE: http://www.economics.rpi.edu/pl/people/ghosal

Center for Economic Studies and Ifo Institute for Economic Research (CESifo)

Poschinger Str. 5
Munich
Germany

HOME PAGE: http://www.cesifo.de

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