Pre- and Post-Merger Investigation of Hospital Mergers
AbstractIn the late 1980s, the Prospective Payment System and the expansion of managed care plans forced hospitals to be cost efficient. The increased number of hospital mergers suggests that merging is a way to become more efficient to ensure long-run survival. This study presents an economic framework and empirical analysis to test the existence of multiproduct scope and scale economies among merged and control hospitals prior to the merger, and one year and two years after the merger, using the AHA data from 1987 to 1990. Results support the operational efficiency hypothesis as the reason for merger.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Eastern Economic Association in its journal Eastern Economic Journal.
Volume (Year): 24 (1998)
Issue (Month): 1 (Winter)
Contact details of provider:
Postal: c/o Dr. Alexandre Olbrecht, The Anisfield School of Business 205, Ramapo College, 505 Ramapo Valley Road, Ramapo, New Jersey 07430, USA
Phone: (201) 684-7346
Web page: http://www.ramapo.edu/eea/journal.html
More information through EDIRC
Hospital; Hospitals; Managed Care; Merger;
Find related papers by JEL classification:
- I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
- L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
- G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Teresa D. Harrison, 2007. "Consolidations and closures: an empirical analysis of exits from the hospital industry," Health Economics, John Wiley & Sons, Ltd., vol. 16(5), pages 457-474.
- Marco, Alan C. & Rausser, Gordon C., 2002.
"Complementarities and spill-overs in mergers: an empirical investigation using patent data,"
Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series
qt93s769k8, Department of Agricultural & Resource Economics, UC Berkeley.
- Alan Marco & Gordon Rausser, 2011. "Complementarities and spillovers in mergers: an empirical investigation using patent data," Economics of Innovation and New Technology, Taylor and Francis Journals, vol. 20(3), pages 207-231.
- Marco, Alan C. & Rausser, Gordon C, 2002. "Complementarities and spill-overs in mergers: an empirical investigation using patent data," CUDARE Working Paper Series 930R, University of California at Berkeley, Department of Agricultural and Resource Economics and Policy.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Victor Matheson, College of the Holy Cross).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.