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The Effect of Public Policies on Nursing Home Care in the United States

  • O. David Gulley

    ()

    (Economics Department, Bentley College)

  • Rexford E. Santerre

    (University of Connecticut)

Given demographic trends, public policies in the future may be aimed at stimulating the availability of nursing home care in the U.S. This paper estimates how certificate of need laws, Medicaid reimbursement rates, and state corporate income tax rates affect the availability of nursing home care in markets throughout the U.S. The results indicate that the Medicaid reimbursement rate directly affects the availability of nursing home care. The findings also suggest that the state corporate tax rate inversely influences the provision of nursing care. Finally, the availability of nursing care is not affected by the presence of certificate of need laws.

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File URL: http://college.holycross.edu/RePEc/eej/Archive/Volume29/V29N1P93_104.pdf
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Article provided by Eastern Economic Association in its journal Eastern Economic Journal.

Volume (Year): 29 (2003)
Issue (Month): 1 (Winter)
Pages: 93-104

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Handle: RePEc:eej:eeconj:v:29:y:2003:i:1:p:93-104
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
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  1. Lynk, William J, 1995. "Nonprofit Hospital Mergers and the Exercise of Market Power," Journal of Law and Economics, University of Chicago Press, vol. 38(2), pages 437-61, October.
  2. Meiners, Mark R., 1982. "An econometric analysis of the major determinants of nursing home costs in the United States," Social Science & Medicine, Elsevier, vol. 16(8), pages 887-898, January.
  3. Gulley, O. David & Santerre, Rexford E., 1993. "The Effect of Tax Exemption on the Market Share of Nonprofit Hospitals," National Tax Journal, National Tax Association, vol. 46(4), pages 477-86, December.
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