Freeman Spogli Institute for International Studies Center for Health Policy/Center for Primary Care and Outcomes Research Stanford University


CHP/PCOR Publications


A Model to Simulate the Effects of Hospital Quality and Charges on Choice of Hospital

Journal Article

Authors
HS Luft, DW Garnick, Ciaran S. Phibbs, DJ Peltzman, E Lichtenberg, SJ McPhee

Published by
Journal of Health Care Marketing, Vol. 11, page(s) 2-11
1991


The authors apply a conditional choice model to simulate the results of patient and physician choices of hospitals for a specific surgical procedure in response to improvements in quality or changes in charges. The model includes all zip code areas and relevant hospitals in a large metropolitan area and estimates the impact on admissions at each hospital. It can be used to estimate both the impact of decisions by a given hospital and the potential responses of competitors, as well as the effects of selective contracting with hospitals by certain payors.