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Monitoring technology and firm boundaries: Physician-hospital integration and technology utilization

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  • McCullough, Jeffrey S.
  • Snir, Eli M.
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    Abstract

    We study the relationship between physician-hospital integration and its relation to monitoring IT utilization. We develop a theoretical model in which monitoring IT may complement or substitute for integration and test these relationships using a novel data source. Physician labor market heterogeneity identifies the empirical model. We find that monitoring IT utilization is increasing in integration, implying that expanded firm boundaries complement monitoring IT adoption. We argue that the relationship between monitoring IT and firm boundaries depends upon the contractibility of the monitored information.

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    File URL: http://www.sciencedirect.com/science/article/B6V8K-4YM7FCM-1/2/66bc895a85197f4091aee836f895ba45
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    Bibliographic Info

    Article provided by Elsevier in its journal Journal of Health Economics.

    Volume (Year): 29 (2010)
    Issue (Month): 3 (May)
    Pages: 457-467

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    Handle: RePEc:eee:jhecon:v:29:y:2010:i:3:p:457-467

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    Web page: http://www.elsevier.com/locate/inca/505560

    Related research

    Keywords: Health information technology Vertical integration Firm boundaries Nonprofit institutions;

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    13. Kenneth Bollen & David Guilkey & Thomas Mroz, 1995. "Binary outcomes and endogenous explanatory variables: Tests and solutions with an application to the demand for contraceptive use in tunisia," Demography, Springer, vol. 32(1), pages 111-131, February.
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