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HMO penetration, hospital competition, and growth of ambulatory surgery centers.

Bian J, Morrisey MA - Health Care Financ Rev (2006)

Bottom Line: Using metropolitan statistical area (MSA) panel data from 1992-2001 constructed from the 2002 Medicare Online Survey Certification and Reporting (OSCAR) System, we estimate the market effects of health maintenance organization (HMO) penetration and hospital competition on the growth of freestanding ambulatory surgery centers (ASCs).Our regression models with MSA and year fixed effects suggest that a 10-percentage-point increase in HMO penetration is associated with a decrease of 3 ASCs per 1 million population.A decrease from 5 to 4 equal-market-shared hospitals in a market is associated with an increase of 2.5 ASCs per 1 million population.

View Article: PubMed Central - PubMed

Affiliation: University of Alabama, Birmingham 35294, USA. jbian@uab.edu

ABSTRACT
Using metropolitan statistical area (MSA) panel data from 1992-2001 constructed from the 2002 Medicare Online Survey Certification and Reporting (OSCAR) System, we estimate the market effects of health maintenance organization (HMO) penetration and hospital competition on the growth of freestanding ambulatory surgery centers (ASCs). Our regression models with MSA and year fixed effects suggest that a 10-percentage-point increase in HMO penetration is associated with a decrease of 3 ASCs per 1 million population. A decrease from 5 to 4 equal-market-shared hospitals in a market is associated with an increase of 2.5 ASCs per 1 million population.

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Related in: MedlinePlus

Differential Growth of Ambulatory Surgery Centers (ASCs) Corresponding to Differential Changes in Market Characteristics: 1992 and 2001
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Related In: Results  -  Collection


getmorefigures.php?uid=PMC4194957&req=5

f2-hcfr-27-4-111: Differential Growth of Ambulatory Surgery Centers (ASCs) Corresponding to Differential Changes in Market Characteristics: 1992 and 2001

Mentions: Figure 2 shows the results of two bivariate comparisons relating changes in HMO penetration and hospital market concentration to the growth in ASCs per 10,000 population because the MSA fixed effects approach only uses within-MSA variation for estimation. For each of the three variables, we first calculated the absolute change within MSAs between 1992 and 2001. We then plotted the change in ASCs per 10,000 population by the lowest and highest quartiles of the change in each of the two market variables. Although the two bivariate comparisons of changes from the beginning (1992) to the end (2001) of the study period did not use any of the information from the years in between, nor did they control for other explanatory variables that may be correlated with both ASCs and the two market characteristics. However, the figure suggests that the growth of ASCs had a negative association with increased HMO penetration and a positive association with increased hospital market concentration.


HMO penetration, hospital competition, and growth of ambulatory surgery centers.

Bian J, Morrisey MA - Health Care Financ Rev (2006)

Differential Growth of Ambulatory Surgery Centers (ASCs) Corresponding to Differential Changes in Market Characteristics: 1992 and 2001
© Copyright Policy
Related In: Results  -  Collection

Show All Figures
getmorefigures.php?uid=PMC4194957&req=5

f2-hcfr-27-4-111: Differential Growth of Ambulatory Surgery Centers (ASCs) Corresponding to Differential Changes in Market Characteristics: 1992 and 2001
Mentions: Figure 2 shows the results of two bivariate comparisons relating changes in HMO penetration and hospital market concentration to the growth in ASCs per 10,000 population because the MSA fixed effects approach only uses within-MSA variation for estimation. For each of the three variables, we first calculated the absolute change within MSAs between 1992 and 2001. We then plotted the change in ASCs per 10,000 population by the lowest and highest quartiles of the change in each of the two market variables. Although the two bivariate comparisons of changes from the beginning (1992) to the end (2001) of the study period did not use any of the information from the years in between, nor did they control for other explanatory variables that may be correlated with both ASCs and the two market characteristics. However, the figure suggests that the growth of ASCs had a negative association with increased HMO penetration and a positive association with increased hospital market concentration.

Bottom Line: Using metropolitan statistical area (MSA) panel data from 1992-2001 constructed from the 2002 Medicare Online Survey Certification and Reporting (OSCAR) System, we estimate the market effects of health maintenance organization (HMO) penetration and hospital competition on the growth of freestanding ambulatory surgery centers (ASCs).Our regression models with MSA and year fixed effects suggest that a 10-percentage-point increase in HMO penetration is associated with a decrease of 3 ASCs per 1 million population.A decrease from 5 to 4 equal-market-shared hospitals in a market is associated with an increase of 2.5 ASCs per 1 million population.

View Article: PubMed Central - PubMed

Affiliation: University of Alabama, Birmingham 35294, USA. jbian@uab.edu

ABSTRACT
Using metropolitan statistical area (MSA) panel data from 1992-2001 constructed from the 2002 Medicare Online Survey Certification and Reporting (OSCAR) System, we estimate the market effects of health maintenance organization (HMO) penetration and hospital competition on the growth of freestanding ambulatory surgery centers (ASCs). Our regression models with MSA and year fixed effects suggest that a 10-percentage-point increase in HMO penetration is associated with a decrease of 3 ASCs per 1 million population. A decrease from 5 to 4 equal-market-shared hospitals in a market is associated with an increase of 2.5 ASCs per 1 million population.

Show MeSH
Related in: MedlinePlus