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| Author: | Picone, G. Chou, S.-Y. Sloan, F. |
| Title: | Are for-profit hospital conversions harmful to patients and to Medicare? |
| Journal: | RAND Journal of Economics
2002 : AUTUMN, VOL. 33:3, p. 507-523 |
| Index terms: | Hospital management Performance appraisal Profit |
| Language: | eng |
| Abstract: | The authors examne how changes in hospital ownership to and from for-profit status affect quality and Medicare payments per hospital stay. They find that 1-2 years after conversion to for-profit status, mortality of patients, which is difficult for outsiders to monitor, increases while hospital profitability rises markedly and staffing decreases. Therefore, the decline in quality is much lower. A similar decline in quality is not observed after hospitals switch from for-profit to government or private nonprofits status. |
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