title: Changes in hospital performance after ownership conversions.
abstract: This paper examines the effects of ownership conversions on hospital performance between 1987 and 1998 in areas of financial performance, staffing, capacity, and unprofitable care. Conversions to government and for-profit ownership both increased the profit margin: the former due to rising revenue, and the latter due to reduced operating costs and rising revenue. Hospitals that converted to for-profit ownership had the greatest reduction in staffing relative to other converted hospitals. There was little change in bed capacity after conversion to for-profit status, but some reductions in bed capacity after conversion to government or nonprofit status. No conversion of any kind led to a reduced amount of unprofitable care, but conversion to private ownership (nonprofit and for-profit) increased the probability of trauma center closures.
authors.affiliation: Health Policy Center, Urban Institute, Washington DC 20037, USA. YShen@ui.urban.org
authors.forename: Yu-Chu
authors.initials: YC
authors.lastname: Shen
mesh_terms: D005377:Financial Management, Hospital / Q000706:statistics & numerical data / Q000639:trends; D019981:Health Care Sector; D006275:Health Facility Planning / Q000191:economics / Q000458:organization & administration*; D006302:Health Services Research; D006742:Hospital Bed Capacity / Q000706:statistics & numerical data; D006777:Hospitals, Proprietary / Q000191:economics / Q000458:organization & administration* / Q000706:statistics & numerical data; D006788:Hospitals, Voluntary / Q000191:economics / Q000458:organization & administration* / Q000706:statistics & numerical data; D007182:Income / Q000706:statistics & numerical data / Q000639:trends; D015233:Models, Statistical; D009937:Organizational Objectives; D010067:Ownership / Q000458:organization & administration*; D010561:Personnel Staffing and Scheduling / Q000706:statistics & numerical data / Q000639:trends; D011332:Privatization / Q000458:organization & administration*; D017664:Uncompensated Care / Q000706:statistics & numerical data / Q000639:trends; D014481:United States; D000078329:Workforce