Charity Care: Do Not-for-Profits Influence For-Profits?  

Oleh:

Clement, Jan P. ; White, Kenneth R. ; Valdmanis, Vivian

Jenis: Article from Journal - ilmiah internasional
Dalam koleksi: Medical Care Research and Review vol. 59 no. 1 (Mar. 2002), page 59-78.
Topik: not-for-profit hospitals
Fulltext: 59MCR59.1.pdf (214.04KB)

Isi artikel

This study further examines whether not-for-profit hospitals exert pressure on for-profit hospitals to provide charity care and whether for-profit hospitals react differently than not-for-profit hospitals to managed care pressures and hospital competition in providing charity care. A two equation model is estimated using 1996 data from California hospitals. The results indicate that in mixed ownership markets, for-profit hospitals provide significantly less charity care as not-for-profit hospitals in the market provide more. Unexpectedly, study for-profit hospitals were not more influenced by price competition than other hospitals with respect to charity care. Having a unique role in providing charity care may justify continuing tax exemption for not-for-profit hospitals and enhance interest in payment and other policies with regard to conversions to ensure that not-forprofit hospitals continue to be represented in market areas.

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