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Market Structure, Competition from Assisted Living Facilities, and Quality in the Nursing Home Industry

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  • John R. Bowblis

Abstract

The effort to provide more long-term care in community-based settings has caused an expansion in the supply of assisted living beds, yet little is known about the interrelationship between this expansion and nursing home quality. This paper studies data from the State of Ohio to determine if nursing home market structure and the expansion in the supply of assisted living beds impact the quality of care provided by nursing homes. The findings suggest that nursing home quality can be lower in markets with a greater supply of nursing homes. Further, assisted living facility market structure is found to have a mixed effect on nursing home quality. The results of this paper suggest a need for a more integrated approach to regulating long-term care providers. Copyright 2012, Oxford University Press.

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  • John R. Bowblis, 2012. "Market Structure, Competition from Assisted Living Facilities, and Quality in the Nursing Home Industry," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 34(2), pages 238-257.
    • Handle: RePEc:oup:apecpp:v:34:y:2012:i:2:p:238-257
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    File URL: http://hdl.handle.net/10.1093/aepp/pps006
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    Cited by:

    1. Christopher S. Brunt & Joshua R. Hendrickson & John R. Bowblis, 2020. "Primary care competition and quality of care: Empirical evidence from Medicare," Health Economics, John Wiley & Sons, Ltd., vol. 29(9), pages 1048-1061, September.
    2. Christopher S. Brunt, 2023. "Assessing the impact of enforcement and compliance with minimum staffing standards on the quality of care in nursing homes: Evidence from the Centers for Medicare and Medicaid Services' staff star rat," Health Economics, John Wiley & Sons, Ltd., vol. 32(2), pages 235-276, February.
    3. Zhao, Xin, 2016. "Competition, information, and quality: Evidence from nursing homes," Journal of Health Economics, Elsevier, vol. 49(C), pages 136-152.
    4. Luting Poh & Si-Ying Tan & Jeremy Lim, 2021. "Governance of Assisted Living in Long-Term Care: A Systematic Literature Review," IJERPH, MDPI, vol. 18(21), pages 1-37, October.
    5. Susan Feng Lu & Konstantinos Serfes & Gerard Wedig & Bingxiao Wu, 2021. "Does Competition Improve Service Quality? The Case of Nursing Homes Where Public and Private Payers Coexist," Management Science, INFORMS, vol. 67(10), pages 6493-6512, October.

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