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The impact of Right-to-Work laws on the financials of hospitals: evidence based on Michigan and Indiana laws

Vijay Gondhalekar and Dawn Brackmann

Applied Economics Letters, 2024, vol. 31, issue 13, 1201-1206

Abstract: This study examines the impact of Michigan and Indiana Right-to-Work (RTW) laws passed in 2012 on the financials (assets, revenue, operating expenses, and profitability) of their hospitals. Difference-in-difference regressions indicate that, on average, RTW enactments by the two states is associated with significant increase in assets (buildings and fixed equipment), net income, operating margin, and ROA of their hospitals compared to those in states with RTW laws or without RTW laws as the control group.

Date: 2024
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DOI: 10.1080/13504851.2023.2177590

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