G2TT
来源类型Working Paper
规范类型报告
DOI10.3386/w23131
来源IDWorking Paper 23131
Antitrust Treatment of Nonprofits: Should Hospitals Receive Special Care?
Cory Capps; Dennis W. Carlton; Guy David
发表日期2017-02-06
出版年2017
语种英语
摘要Nonprofit hospitals receive favorable tax treatment in exchange for providing socially beneficial activities. Extending this rationale would suggest that, insofar as suppression of competition would allow nonprofits to cross-subsidize care for needy populations, nonprofit hospital mergers should be evaluated differently than mergers of for-profit hospitals. However, this rationale rests upon the premise that nonprofit hospitals with greater market power provide more care to the needy. In this paper, we develop a theoretical model showing that the welfare implications of an antitrust policy that favors nonprofit hospitals depends on the link between market power and charity care provision. To test the link, we use three measures of charity care—two dollar-denominated and one based on service volume—to study charity care provision by for-profit and non-profit hospitals under different competition conditions. Using detailed California data from 2001 to 2011, we find no evidence that nonprofit hospitals are more likely than for-profit hospitals to provide more charity care, or to offer more unprofitable services, when competition falls. Overall, while some courts have given deference to defendants’ nonprofit status, our study finds no empirical evidence that such hospitals provide greater charity care as they have greater market power.
主题Health, Education, and Welfare ; Health ; Industrial Organization ; Firm Behavior ; Nonprofits
URLhttps://www.nber.org/papers/w23131
来源智库National Bureau of Economic Research (United States)
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资源类型智库出版物
条目标识符http://119.78.100.153/handle/2XGU8XDN/580805
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Cory Capps,Dennis W. Carlton,Guy David. Antitrust Treatment of Nonprofits: Should Hospitals Receive Special Care?. 2017.
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