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Article
The Changing Effects of Competition on Non-Profit and For-Profit Hospital Pricing Behavior
Journal of Health Economics (1999)
  • Emmett B. Keeler
  • Glenn Melnick, University of Southern California
  • Jack Zwanziger, University of Rochester
Abstract
Has the nature of hospital competition changed from a medical arms race in which hospitals compete for patients by offering their doctors high quality services to a price war for the patients of payors? This paper uses time-series cross-sectional methods on California hospital discharge data from 1986–1994 to show the association of hospital prices with measures of market concentration changed steadily over this period, with prices now higher in less competitive areas, even for non-profit hospitals. Regression results are used to simulate the price impact of hypothetical hospital mergers.
Keywords
  • Hospitals,
  • Competition,
  • Non-profit
Disciplines
Publication Date
January, 1999
Citation Information
Emmett B. Keeler, Glenn Melnick and Jack Zwanziger. "The Changing Effects of Competition on Non-Profit and For-Profit Hospital Pricing Behavior" Journal of Health Economics Vol. 18 Iss. 1 (1999)
Available at: http://works.bepress.com/emmett_keeler/4/