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Hospital Competition and Charity Care

Christopher Garmon

Forum for Health Economics & Policy, 2009, vol. 12, issue 1, 35

Abstract: This paper explores the relationship between competition and hospital charity care by analyzing changes in charity care associated with changes in a hospital's competitive environment (due to mergers and divestitures), using hospital financial and discharge data from Florida and Texas. Despite the pervasive belief that competition impedes a hospital's ability to offer services to the uninsured and under-insured, I find no statistically significant evidence that increased competition leads to reductions in charity care. In fact, I find some evidence that reduced competition leads to higher prices for uninsured patients.

Keywords: charity care; uncompensated care; competition; mergers (search for similar items in EconPapers)
Date: 2009
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Citations: View citations in EconPapers (3)

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DOI: 10.2202/1558-9544.1130

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