Please use this identifier to cite or link to this item: https://hdl.handle.net/1822/85568

TitleDo hospital mergers reduce waiting times? Theory and evidence from the english NHS
Author(s)Cirulli, Vanessa
Marini, Giorgia
Marini, Marco A.
Straume, Odd Rune
KeywordsHospital merger
waiting times
profit-orientation
Issue date2023
PublisherUniversidade do Minho. Núcleo de Investigação em Políticas Económicas (NIPE)
Abstract(s)We analyse - theoretically and empirically- the effect of hospital mergers on waiting times in healthcare markets where prices are fixed. Using a spatial modelling framework where patients choose provider based on travelling distance and waiting times, we show that the effect is theoretically ambiguous. In the presence of cost synergies, the scope for lower waiting times as a result of the merger is larger if the hospitals are more profit- oriented. This result is arguably confirmed by our empirical analysis, which is based on a conditional flexible difference-in-differences methodology applied to a long panel of data on hospital merger in the English NHS, where we find that the effects of a merger on waiting times crucially rely on a legal status that can reasonably be linked to the degree of profit-orientation. Whereas hospital mergers involving Foundation Trusts tend to reduce waiting times, the corresponding effect of mergers involving hospitals without this legal status tends to go in the opposite direction.
TypeWorking paper
URIhttps://hdl.handle.net/1822/85568
Publisher versionhttps://nipe.eeg.uminho.pt/publicacoes-nipe/#documentos-de-trabalho
AccessOpen access
Appears in Collections:NIPE - Documentos de Trabalho

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