Full Citation
Title: Can health spending be reined in through supply restraints? An evaluation of certificate-of-need laws
Citation Type: Journal Article
Publication Year: 2019
ISBN:
ISSN:
DOI: 10.1007/s10389-018-0998-1
NSFID:
PMCID:
PMID:
Abstract: Aims Most US states use certificate-of-need (CON) programs in an attempt to slow the growth of health care spending. The objective of this study is to evaluate how CON in fact affects health care spending. Subjects and methods With 1980–2009 state-level data on spending from the National Health Expenditure Accounts, this article uses fixed-effects regressions to evaluate how the presence and scope of state CON laws affect these spending outcomes. Results This article estimates that CON laws lead to a statistically significant 3.1% increase in total spending and finds that this increase is primarily driven by spending on physicians. Conclusion Rather than decreasing health care spending as intended, it appears that CON laws actually increase it. To the extent that policy makers wish to restrain health care spending, they may wish to repeal these laws.
Url: http://link.springer.com/10.1007/s10389-018-0998-1
User Submitted?: No
Authors: Bailey, James
Periodical (Full): Journal of Public Health
Issue: 6
Volume: 27
Pages: 755-760
Data Collections: IPUMS CPS
Topics: Health, Other
Countries: