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Profit Incentives and Technical Efficiency in the Production of Nursing Home Care

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Author Info
Nyman, John A
Bricker, Dennis L

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Abstract

In recent years, nursing home care expenditures have approached one percent of GNP. Their growth is a major contributor to the escalating costs of health care. In this article, the authors analyze a sample of nursing homes from Wisconsin to determine the characteristics of the efficiently operated nursing homes. Data envelopment analysis is used to calculate efficiency scores for the various nursing homes in the sample. The authors then use regression analysis to investigate the determinants of efficiency, holding constant the characteristics of the output. They find that for-profit firms have significantly higher efficiency scores. Copyright 1989 by MIT Press.

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Publisher Info
Article provided by MIT Press in its journal Review of Economics & Statistics.

Volume (Year): 71 (1989)
Issue (Month): 4 (November)
Pages: 586-94
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Handle: RePEc:tpr:restat:v:71:y:1989:i:4:p:586-94

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Web page: http://mitpress.mit.edu/journals/

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Web: http://mitpress.mit.edu/journal-home.tcl?issn=00346535

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  1. D. Fabbri, 1999. "Riforma Sanitaria e produzione ospedaliera," Working Papers 362, Dipartimento Scienze Economiche, Universita' di Bologna. [Downloadable!]
  2. Paul A. Grout & Michelle J. Yong, 2003. "The Role of Donated Labour and Not for Profit at the Public/Private Interface," The Centre for Market and Public Organisation 03/074, Department of Economics, University of Bristol, UK. [Downloadable!]
  3. Erlandsen,E. & Forsund,F.R., 1999. "Efficiency in the provision of municipal nursing- and home-care services : the Norwegian experience," Memorandum 32/1999, Oslo University, Department of Economics. [Downloadable!]
  4. Jane Banaszak-Holl & Whitney B. Berta & Dilys M. Bowman & Joel A.C. Baum & Will Mitchell, 2002. "The rise of human service chains: antecedents to acquisitions and their effects on the quality of care in US nursing homes," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 23(4-5), pages 261-282. [Downloadable!]
  5. Valentina Bosetti & Gianni Locatelli, 2005. "A Data Envelopment Analysis Approach to the Assessment of Natural Parks’ Economic Efficiency and Sustainability. The Case of Italian National Parks," Working Papers 2005.63, Fondazione Eni Enrico Mattei. [Downloadable!]
  6. Valentina Bosetti & Mariaester Cassinelli & Alessandro Lanza, 2006. "Benchmarking in Tourism Destination, Keeping in Mind the Sustainable Paradigm," Working Papers 2006.12, Fondazione Eni Enrico Mattei. [Downloadable!]
  7. D. Fabbri, 1998. "Efficienza tecnica e produzione ospedaliera: una valutazione con Data Envelopment Analysis delle prestazioni ospedaliere nel periodo della riforma," Working Papers 318, Dipartimento Scienze Economiche, Universita' di Bologna. [Downloadable!]
  8. Rexford E. Santerre & John A. Vernon, 2005. "Testing for Ownership Mix Efficiency: The Case of the Nursing Home Industry," NBER Working Papers 11115, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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