Hospital ownership and performance |
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| Authors: | Becker E R Sloan F A |
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| Affiliation: | *Assistant Professor of Management and Health Administration, College of Business Administration, University of Colorado, Denver.;**Centennial Professor of Economics, Department of Economics, and Director, Health Policy Center, Institute for Public Policy Studies, Vanderbilt University. This research was supported in part by grants #18-P-97090/4 from the Health Care Financing Administration and #1-R03-HS04665-01-HCT from the National Center for Health Services Research, both to Vanderbilt University. We wish to thank two anonymous referees for helpful comments on an earlier draft. |
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| Abstract: | This study compares the performance of three ownership forms of hospitals: for profit, private nonprofit, and public, further classified according to whether or not the hospital is run by a hospital chain. Data come from a 1979 national survey of U.S. hospitals. The authors find that hospital cost is quite similar among alternative ownership forms as is profitability. The results do not provide much empirical support for standard property rights theory. Several reasons are suggested why this may be so. |
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