Has Medicare Been a ‘Bad Deal’ for Rural Hospitals?

Has Medicare Been a ‘Bad Deal’ for Rural Hospitals? Understanding the links between Medicare involvement and financial performance in rural hospitals is important for evaluating reimbursement policy under Medicare's prospective payment system (PPS). While simple comparisons between urban and rural hospitals suggest that the latter have lower PPS profit margins on average, there is little multivariate evidence on how Medicare involvement affects financial performance in rural hospitals and whether this relationship differs between rural and urban hospitals. Existing multivariate evidence suggests that Medicare involvement improves PPS profits in both rural and urban hospitals after controlling for other hospital‐ and market‐specific factors. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png The Journal of Rural Health Wiley

Has Medicare Been a ‘Bad Deal’ for Rural Hospitals?

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Publisher
Wiley Subscription Services, Inc., A Wiley Company
Copyright
© National Rural Health Association
ISSN
0890-765X
eISSN
1748-0361
D.O.I.
10.1111/j.1748-0361.1991.tb00010.x
Publisher site
See Article on Publisher Site

Abstract

Understanding the links between Medicare involvement and financial performance in rural hospitals is important for evaluating reimbursement policy under Medicare's prospective payment system (PPS). While simple comparisons between urban and rural hospitals suggest that the latter have lower PPS profit margins on average, there is little multivariate evidence on how Medicare involvement affects financial performance in rural hospitals and whether this relationship differs between rural and urban hospitals. Existing multivariate evidence suggests that Medicare involvement improves PPS profits in both rural and urban hospitals after controlling for other hospital‐ and market‐specific factors.

Journal

The Journal of Rural HealthWiley

Published: Jan 1, 1991

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