IDEAS home Printed from https://ideas.repec.org/a/jre/issued/v25n12003p43-60.html
   My bibliography  Save this article

Nursing Home Quality, Chain Affiliation, Profit Status and Performance

Author

Listed:
  • Randy I. Anderson

    (City University of New York-Baruch College, New York, NY 10010)

  • H. Shelton Weeks

    () (Florida Gulf Coast University, Ft. Myers, FL 33965-6565)

  • Bradley K. Hobbs

    () (Florida Gulf Coast University, Ft. Myers, FL 33965-6565)

  • James R. Webb

    () (Cleveland State University, Cleveland, OH 44114)

Abstract

This study uses data on 487 nursing homes in Florida for 1996 to examine several issues about the efficiency of nursing homes. Chain affiliation (national, regional or independent) is examined, as is profit status (for-profit or non-profit). For the first time quality of care is also included, due to the uniqueness of the data which contains quality scores assigned by State of Florida officials. Multiple regression analysis, as well as data envelopment analysis (DEA), is used. The results, in general, indicate that substantial inefficiencies do exist in the range of 20% to 30%, which is consistent with previous efficiency studies in this industry. Without controlling for quality, for-profit firms and chain affiliated firms are shown to be slightly more efficient than their independent and non-profit counterparts. However, chain affiliated firms scored lower on quality than independents and for-profit firms scored lower on quality than non-profit firms. When controlling for quality, the profit status of the firm and room utilization rates are positively and significantly related to efficiency. However, in the presence of the quality control variable, there is no evidence to suggest that chain affiliation impacts efficiency.

Suggested Citation

  • Randy I. Anderson & H. Shelton Weeks & Bradley K. Hobbs & James R. Webb, 2003. "Nursing Home Quality, Chain Affiliation, Profit Status and Performance," Journal of Real Estate Research, American Real Estate Society, vol. 25(1), pages 43-60.
  • Handle: RePEc:jre:issued:v:25:n:1:2003:p:43-60
    as

    Download full text from publisher

    File URL: http://pages.jh.edu/jrer/papers/pdf/past/vol25n01/03.43_60.pdf
    File Function: Full text
    Download Restriction: no

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Varabyova, Yauheniya & Blankart, Carl Rudolf Berchtold & Schreyƶgg, Jonas, 2016. "Using nonparametric conditional approach to integrate quality into efficiency analysis: Empirical evidence from cardiology departments," hche Research Papers 2016/11, University of Hamburg, Hamburg Center for Health Economics (hche).
    2. repec:spr:annopr:v:261:y:2018:i:1:d:10.1007_s10479-017-2628-7 is not listed on IDEAS
    3. repec:kap:hcarem:v:20:y:2017:i:4:d:10.1007_s10729-016-9372-4 is not listed on IDEAS
    4. Bergman, Mats A. & Johansson, Per & Lundberg, Sofia & Spagnolo, Giancarlo, 2016. "Privatization and quality: Evidence from elderly care in Sweden," Journal of Health Economics, Elsevier, vol. 49(C), pages 109-119.
    5. Ozgen, Hacer, 2006. "Does chain affiliation make a difference in efficiency of dialysis providers in the USA," Social Science & Medicine, Elsevier, vol. 62(9), pages 2112-2124, May.

    More about this item

    JEL classification:

    • L85 - Industrial Organization - - Industry Studies: Services - - - Real Estate Services

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jre:issued:v:25:n:1:2003:p:43-60. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (JRER Graduate Assistant/Webmaster). General contact details of provider: http://www.aresnet.org/ .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.