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来源类型Working Paper
规范类型报告
DOI10.3386/w23100
来源IDWorking Paper 23100
Provider Incentives and Healthcare Costs: Evidence from Long-Term Care Hospitals
Liran Einav; Amy Finkelstein; Neale Mahoney
发表日期2017-01-30
出版年2017
语种英语
摘要We study the design of provider incentives in the post-acute care setting – a high-stakes but under-studied segment of the healthcare system. We focus on long-term care hospitals (LTCHs) and the large (approximately $13,000) jump in Medicare payments they receive when a patient's stay reaches a threshold number of days. The descriptive evidence indicates that discharges increase substantially after the threshold, and that the marginal patient discharged after the threshold is in relatively better health. Despite the large financial incentives and behavioral response in a high mortality population, we are unable to detect any compelling evidence of an impact on patient mortality. To assess provider behavior under counterfactual payment schedules, we estimate a simple dynamic discrete choice model of LTCH discharge decisions. When we conservatively limit ourselves to alternative contracts that hold the LTCH harmless, we find that an alternative contract can generate Medicare savings of about $2,100 per admission, or about 5% of total payments. More aggressive payment reforms can generate substantially greater savings, but the accompanying reduction in LTCH profits has potential out-of-sample consequences. Our results highlight how improved financial incentives may be able to reduce healthcare spending, without negative consequences for industry profits or patient health.
主题Microeconomics ; Households and Firms ; Health, Education, and Welfare ; Health ; Industrial Organization ; Firm Behavior
URLhttps://www.nber.org/papers/w23100
来源智库National Bureau of Economic Research (United States)
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条目标识符http://119.78.100.153/handle/2XGU8XDN/580774
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Liran Einav,Amy Finkelstein,Neale Mahoney. Provider Incentives and Healthcare Costs: Evidence from Long-Term Care Hospitals. 2017.
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