The creation of economic efficiencies in hospital mergers

Article Abstract:

Economic efficiencies in hospital mergers are affected by volatility of patient demand and consolidation of smaller clinical units into a larger one. Hospital efficiencies, which are reflected by reduced cost and improved service, often result from minimized overlapping functions and over staffing. However, efficiencies are negatively affected by drastic demand for highly specialized and complex services that patients require from larger clinical units created by consolidation of smaller ones.

Research, Laws, regulations and rules, Mergers, acquisitions and divestments, Acquisitions and mergers, Antitrust law, Efficient market theory

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Medicare upcoding and hospital ownership

Article Abstract:

Many hospitals in the 1990s were accused of upcoding patient diagnostic related groups (DRG) to increase Medicare reimbursements. Through a study, it was found that the not-for-profit upcoding was higher in markets with a larger for-profit hospital share, and between 1989 and 1996, the percentage point share of most generous DRG for pneumonia and respiratory infections rose by about 10 points among not-for-profit hospitals.

United Kingdom, Health services administration, Medicare

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An optimal contract approach to hospital financing

Article Abstract:

A model is developed in which managers and doctors are responsible for different decisions within the hospital. A two-stage agency problem emerges in which contracts are designed to elicit information in the most efficient way.

Forecasts, trends, outlooks, Financial management, Models, Finance, Forecasts and trends, Market trend/market analysis, Medical care, Cost of, Health care costs, Company financing

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