Nursing Home Prices and Quality of Care - Evidence from Administrative Data
32 Pages Posted: 25 Jul 2014
Date Written: January 1, 2014
There is widespread concern about the quality of care in nursing homes. Based on administrative data of a large health insurance fund, we investigate whether nursing home prices affect relevant quality of care indicators at the resident level. Our results indicate a significantly negative price effect on inappropriate and psychotropic medication. In contrast, we find no evidence for fewer painful physical sufferings for residents of nursing homes with higher prices.
Keywords: Quality of care; nursing homes; inappropriate medication; psychotropic drugs; panel data analysis
JEL Classification: I10
Suggested Citation: Suggested Citation