Home > Publications . Search All . Browse All . Country . Browse PSC Pubs . PSC Report Series

PSC In The News

RSS Feed icon

Thompson says America must "unchoose" policies that have led to mass incarceration

Axinn says new data on campus rape will "allow students to see for themselves the full extent of this problem"

Frey says white population is growing in Detroit and other large cities


Susan Murphy to speak at U-M kickoff for data science initiative, Oct 6, Rackham

Andrew Goodman-Bacon, former trainee, wins 2015 Nevins Prize for best dissertation in economic history

Deirdre Bloome wins ASA award for work on racial inequality and intergenerational transmission

Bob Willis awarded 2015 Jacob Mincer Award for Lifetime Contributions to the Field of Labor Economics

Next Brown Bag

Monday, Oct 5 at noon, 6050 ISR
Colter Mitchell: Biological consequences of poverty

Lauren Nicholas photo

Medicare Advantage? The Effects of Managed Care on Quality of Care

Publication Abstract

Download PDF versionNicholas, Lauren. 2009. "Medicare Advantage? The Effects of Managed Care on Quality of Care." PSC Research Report No. 09-672. February 2009.

Recent policy reforms have sought to expand the role of managed care in Medicare, despite limited information about quality of care provided by Medicare managed care (MMC) plans. This paper uses a unique inpatient hospitalization dataset containing over 9 million records to analyze outpatient quality and access to care in MMC in four states from 1999 - 2004. Several econometric strategies are used to address positive selection, which explains most of the observed differences in hospitalization rates. I find little evidence that plans improve outpatient management of chronic conditions or restrict access to elective procedures, though MMC plans respond to incentives to cream-skim and to prevent acute illness, reducing rates of preventable hospitalization for acute illness by 5 to 10 admissions per 1,000 enrollees. During the study period, MMC plans in included counties on average were paid $300 per enrollee per year more than Medicare spent on the average Fee-for-Service enrollee in the county, though these additional payments do not appear to have affected quality of care or targeted sicker Medicare enrollees.

Country of focus: United States of America.

Browse | Search : All Pubs | Next