The changing effect of hmo market structure

an analysis of penetration, concentration, and ownership between 1994-2005 by Yu-Chu Shen

Publisher: National Bureau of Economic Research in Cambridge, MA

Written in English
Published: Downloads: 655
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Edition Notes

StatementYu-Chu Shen, Vivian Wu, Glenn Melnick.
SeriesNBER working paper series -- working paper 13775, Working paper series (National Bureau of Economic Research : Online) -- working paper no. 13775.
ContributionsWu, Vivian, Melnick, Glenn., National Bureau of Economic Research.
Classifications
LC ClassificationsHB1
The Physical Object
FormatElectronic resource
ID Numbers
Open LibraryOL17088843M
LC Control Number2008612452

In an effort to provide HEALTHSPAN readers with the current thinking about where the HMO industry is headed, four presentations on challenges facing the HMO industry today are summarized below. The presentations were included in a recently released book, "HMOS & Beyond: New Health Care Systems," published by the Group Health Association of America.   We examine HMO participation and enrollment in the Medicare risk market for the years to We develop a profit‐maximization model of HMO behavior, which explicitly considers potential linkages between an HMO's production decision in the commercial enrollee market and its participation and production decisions in the Medicare risk market.   Having decided to be a landlord of an HMO property, the next decision will be whether to find an existing HMO property for sale or changing a single let property into an HMO conversion. Either way, it must be the right property in the right location. Research is vital and there are essential elements to focus on in order to get it right. Market structure has historically emerged in two separate types of discussions in economics, that of Adam Smith on the one hand, and that of Karl Marx on the other hand. Adam Smith in his writing on economics stressed the importance of laissez-faire principles outlining the operation of the market in the absence of dominant political mechanisms of control, while Karl Marx discussed the working.

  Kaiser Permanente was the only major HMO in the country by and most of its members were compelled to join through unions. Combined with Medicare, the HMO Act eventually eliminated the market for affordable individual health insurance. The new managed care plans mushroomed with federal subsidies. (e) The change in total revenue caused by the new customers now paying the new price. Monopoly: It is a form of market structure where there are many buyers in the market but a single seller who. Tracing the qualitative and quantitative effects of variables that change supply and demand, whether in the short or long run, is a standard exercise in applied economics. Economic theory may also specify conditions such that supply and demand through the market is an efficient mechanism for allocating resources. Market structure. With HMO enrollment climbing 11% a year, it isn't hard to envision the day when more than million Americans will belong to such plans. Formats of HMOs vary widely, but they all share a few.

A Regulator’s Introduction to the Insurance Industry Prepared for the National Association of Insurance Commissioners Robert W. Klein, Ph.D.   The effect approximately measures the impact of a 1 percent change in viewership in a ZIP code on the propensity to stay at home in percentage points. We only start to detect a Fox News effect around February 29 th, the day the state of Washington issued the first emergency declaration in .

The changing effect of hmo market structure by Yu-Chu Shen Download PDF EPUB FB2

Get this from a library. The changing effect of HMO market structure: an analysis of penetration, concentration, and ownership between [Yu-Chu Shen; Vivian Wu; Glenn Melnick; National Bureau of Economic Research.]. The Changing Effect of HMO Market Structure: an Analysis of Penetration, Concentration, and Ownership Between [Glenn Melnick; Yu-Chu Shen; Vivian Wu; National Bureau of Economic Research;] -- We analyze the role of three aspects of HMO market structure -- HMO penetration, HMO plan concentration, and HMO for-profit share on explaining hospital cost and.

The Changing Effect of HMO Market Structure: An Analysis of Penetration, Concentration, and Ownership Between Yu-Chu Shen, Vivian Wu, and Glenn Melnick. The Changing Effect of HMO Market Structure: An Analysis of Penetration, Concentration, and Ownership Between Yu-Chu Shen, Vivian Wu, Glenn Melnick.

NBER Working Paper No. Issued in February NBER Program(s):Health CareCited by: 3. Downloadable. We analyze the role of three aspects of HMO market structure -- HMO penetration, HMO plan concentration, and HMO for-profit share on explaining hospital cost and revenue growth during the HMO expansion period () and backlash period ().

We find that HMO penetration effects differ over time: a 10 percentage point increase in HMO enrollment leads to percent. Furthermore, this HMO backlash effect can be attributed to HMO dis-enrollment as well as the changing nature of HMO product.

We find that revenue increases at a slower rate (by about 5 percent) in markets with relatively concentrated HMO markets power. The Changing Effect of HMO Market Structure: An Analysis.

The Changing Effect of HMO Market Structure: An Analysis of Penetration, Concentration, and Ownership Between Yu-Chu Shen, Vivian Wu, and Glenn Melnick NBER Working Paper No.

February JEL No. I11 ABSTRACT We analyze the role of three aspects of HMO market structure -- HMO penetration, HMO plan concentration, and HMO for-profit share on explaining. The Changing Effect of HMO Market Structure: An Analysis of Penetration, Concentration, and Ownership Between By Yu-Chu Shen, Vivian Wu and Glenn Melnick Get PDF ( KB).

gr o up-model health maint e nance organi zations (HMOs) w here market structure is me asured b y H MO pen etration an d th e n umber of HMO s ope rating in a ma rke t. The changing effect of HMO market structure: an analysis of penetration, concentration, and ownership between By Yu-Chu Shen, Vivian Wu and Glenn Melnick Get PDF ( KB).

Insurance markets are different and special in many ways compared to other financial markets. From their informational structure, the purchaser or prospective insured or applicant is more likely to know more about their own risk characteristics than the insurer. Unlike other markets, information advantage is held by suppliers, who have more idea regarding the product quality than the buyer does.

We examine the effects of HMO market structure on HMO premiums from to More competition, measured by the number of HMOs in the market area, reduces HMO premiums. Although this effect does not appear for IPAs before the highest level of competition is reached, it appears throughout the competitive range for Group HMOs.

Identify and distinguish between the different types of market structures; compare and contrast the similarities and differences between their characteristics; For each market structure, provide an industry example and evaluate the economic efficiency of each (market structure) and the effect of each (market structure) on the industry’s.

Given the increasing significance of the healthcare sector, it is not surprising to find a large number of empirical studies analysing the determinants of market structure (i.e., the location and the number of suppliers in a specific market) as well as the effects of market structure on competition and economic performance.

The major boost to the HMO movement during the early period of growth was the en-actment in of the federal HMO Act. That act, as described later, both authorized start-up funding and, more important, en-sured access to the employer-based insur-ance market. It evolved from discussions that Paul Ellwood, MD had in with the politi.

Conceptual Framework. The Anderson and Aday framework of access (Anderson and Aday ) naturally extends to theorize how HMO penetration affects ACSC distribution of predisposing demographic and socioeconomic factors determines the demand for health care in a region, and the availability of health care providers and facilities measures the supply of health care at the.

Research Article Health Affairs Vol No.6 HMO Market Structure and Performance: The history of the health maintenance organization (HMO) movement can be traced to early“ Medicaid and HMO Data Book: The The effect of market structure on HMO premiums. Many companies offer at least three-tier employee benefits plans, with one or more as part of an HMO network.

It is a cost-effective way of managing health care insurance and maintaining the quality of care. Health maintenance organization plans continue to be a strong component of care in the health insurance market today.

Evidence from HMO staffing patterns. JAMA. Jul 20; (3)– Welch WP. HMO enrollment: a study of market forces and regulations. J Health Polit Policy Law. Winter; 8 (4)– Wholey D, Feldman R, Christianson JB. The effect of market structure on HMO premiums. J Health Econ. May; 14 (1)– concentration in health insurance markets are linked to wider concerns about the cost, quality, and availability of health care.

The market structure of the health insurance and hospital industries may have contributed to rising health care costs and deteriorating access to affordable health insurance.

A theoretical and empirical study of the effects of competition across a broad range of industries. Policies to promote competition are high on the political agenda worldwide. But in a constantly changing marketplace, the effects of more intense competition on firm conduct, market structure, and industry performance are often hard to distinguish.

This study combines game-theoretic models with. Market structures. There are several market structures in which firms can operate. The type of structure influences the firm’s behaviour, whether it is efficient, and the level of profits it can generate.

Neo-classical theory of the firm distinguishes a number of market structures, each with its own characteristics and assumptions.

The structure of a market refers to the number of firms in. The market is the structure in which market forces operate; if that structure is operating properly, market forces can do their job to keep prices low and quality high.

But if the market structure itself is flawed, market forces may not by themselves produce the. Objective. To assess the impact of HMO market structure on the formation of physician-hospital strategic alliances from through The two trends, managed care and physician-hospital integration have been prominent in reshaping insurance and.

A market structure describes the key traits of a market, including the number of firms, the similarity of the products they sell, and the ease of entry into and exit from the market.

Examination of the business sector of our economy reveals firms operating in different market structures. In this chapter and the two chapters that follow, we will.

health insurance sector, and the managed care sector. Brief summaries of empirical economic research about the effects of competition on market structure and performance are presented.

A major conclusion is that market competition in health care markets is effective in providing consumers with both cost-effective health care. study how rms optimally decide entry/exit decision in response to a change in policy.

We simulate a merger between American and US Airways and we nd that the post-merger market structure and prices depend crucially on how we model the characteristics of the post-merger rm as a function of the pre-merger rms’ characteristics.

Structure and performance of health maintenance organizations: A review Introduction Researh on health maintenance organization (HMO) participation in public programs and on the effects of HMOs in serving public programs enrollees has focused primarily on the Medicare or Medicaid experience of these HMOs.

Health Maintenance Organization (HMO) is a specific type of health insurance plan. Let's follow a hypothetical HMO consumer, Emy, as she learns all about her medical coverage under her HMO plan.we use several approaches to defining health insurance market structure including the level of health insurance competition, the relative balance of insurance concentration to hospital market concentration, and whether an individual consumer has a choice in health plans.

The Hamilton Project offers six economic facts that highlight continuing challenges and complexities in health care and health insurance markets on which the policy debate should focus.