Studying how for-profit hospitals impact the provision of nonprofit care

The Foundation's Changes in Health Care Financing and Organization program was designed to support research, demonstration, and evaluation projects examining major changes in health care financing.Under this grant, the researchers, building on prior work, will examine the relationships among medical service provision, ownership type, and market mix of hospitals. Specifically, they will determine whether medical service provision by nonprofit hospitals varies with the for-profit share of the market. The researchers will examine approximately 40 medical services sorted into three profitability categories (relatively high, relatively low, variable) and address three related questions: (1) Do for-profit and nonprofit hospitals offer different kinds of services in markets with varying for-profit penetration; (2) Do shifts in for-profit market share change the propensity of nonprofit hospitals to offer profitable and unprofitable services; and (3) How does for-profit penetration relate to the overall percentage of hospitals providing different types of medical services? The objective of this project is to inform federal and state policy-makers as they consider tax regulation and community benefit standards, as well as decision-makers considering availability and access to services in conjunction with the negotiation of hospital conversion terms.

Grant Details

Amount Awarded $104,442.00

Awarded on: 8/8/2006

Time frame: 9/1/2006 - 8/31/2008

Grant Number: 58595


University of Michigan Law School

801 Monroe Street
Ann Arbor, 48109-1210

Jill R. Horwitz
Project Director