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Journal article
Do mergers really reduce costs? Evidence from hospitals
Economic inquiry, v 49(4), pp 1054-1069
2011
PMID: 22165419
Featured in Collection : UN Sustainable Development Goals @ Drexel
Abstract
In this paper, we compare potential and realized cost savings from hospital mergers. Our approach isolates changes in realized cost savings due to different output mixes from systematic changes due to time and also provides a measure of the potential cost savings due to scale economies. Our findings suggest that economies of scale are present for merging hospitals and they realize these cost savings immediately following a merger. However, we also show that over time, cost savings from the merger decrease and the proportion of hospitals experiencing positive cost savings declines.
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Details
- Title
- Do mergers really reduce costs? Evidence from hospitals
- Creators
- Teresa D Harrison - Drexel University
- Publication Details
- Economic inquiry, v 49(4), pp 1054-1069
- Publisher
- Wiley; United States
- Resource Type
- Journal article
- Language
- English
- Academic Unit
- Economics (School of Economics)
- Web of Science ID
- WOS:000295045500008
- Scopus ID
- 2-s2.0-80053088159
- Other Identifier
- 991014878125404721
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- Web of Science research areas
- Economics