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Quality of Care: Analyzing the Relationship Between Hospital Quality Score and Total Hospital Costs

As healthcare costs and premiums have increased in the recent past, hospitals are forced to try to provide healthcare on tight budgets. In many cases, quality is often sacrificed in an effort to manage patient wait-times and costs. This research attempted to add to the existing body of knowledge of quality of care by defining a relationship between quality of care provided and total hospital costs. This study used the 2006 American Hospital Associations Annual Survey Database and the 2006 Hospital Compare dataset to meet the data requirements for the study. A log-log, as well as a translog, cost function was used to estimate the relationship between quality of care provisioned for community acquired pneumonia and heart failure and total hospital costs. Regressors for the cost function included hospital outputs, inputs and wages as well as variables for patient-mix, case-mix, ownership status and medical school affiliation. Ultimately this study concluded that by increasing the quality of care score associated with community-acquired pneumonia by ten percent would decrease total hospital costs by 2.44 percent. However, several improvements were found that would improve the ability of the quality of care data and estimation methodologies to more comprehensively represent quality.

Identiferoai:union.ndltd.org:LSU/oai:etd.lsu.edu:etd-08312013-094009
Date12 September 2013
CreatorsNewell, Jordan Andrew
ContributorsPortier, Ralph Joseph, Fannin, James Matthew, Keithly, Walter R Jr
PublisherLSU
Source SetsLouisiana State University
LanguageEnglish
Detected LanguageEnglish
Typetext
Formatapplication/pdf
Sourcehttp://etd.lsu.edu/docs/available/etd-08312013-094009/
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