Identifying the relationship between length of hospital stay and the probability of readmission

Michael Makowsky and Eili Y. Klein

Applied Economics Letters, 2018, vol. 25, issue 6, 375-380

Abstract: We estimate the effect of hospital length of stay (LOS) on the probability of 30-day readmission for 516,768 patients hospitalized with heart failure in California from 2005 to 2011. We use hospital crowding as an instrumental variable to control for bias from omitted health characteristics. Our results suggest that the literature, which has for 30 years identified readmission rates increasing with LOS, has not controlled for omitted variable bias when estimating the benefits from a patient’s hospital stay.

Date: 2018
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DOI: 10.1080/13504851.2017.1324605

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