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Can You Get What You Pay For? Pay-For-Performance and the Quality of Healthcare Providers

Kathleen Mullen, Richard G. Frank and Meredith B. Rosenthal

No 14886, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Despite the popularity of pay-for-performance (P4P) among health policymakers and private insurers as a tool for improving quality of care, there is little empirical basis for its effectiveness. We use data from published performance reports of physician medical groups contracting with a large network HMO to compare clinical quality before and after the implementation of P4P, relative to a control group. We consider the effect of P4P on both rewarded and unrewarded dimensions of quality. In the end, we fail to find evidence that a large P4P initiative either resulted in major improvement in quality or notable disruption in care.

JEL-codes: D23 H51 I12 (search for similar items in EconPapers)
Date: 2009-04
New Economics Papers: this item is included in nep-hea, nep-lab and nep-soc
Note: EH
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Published as Kathleen J. Mullen & Richard G. Frank & Meredith B. Rosenthal, 2010. "Can you get what you pay for? Pay-for-performance and the quality of healthcare providers," RAND Journal of Economics, RAND Corporation, vol. 41(1), pages 64-91.

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Journal Article: Can you get what you pay for? Pay‐for‐performance and the quality of healthcare providers (2010) Downloads
Working Paper: Can You Get What You Pay For? Pay-For-Performance and the Quality of Healthcare Providers (2009) Downloads
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