NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH
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How do Hospitals Respond to Payment Incentives?

Gautam Gowrisankaran, Keith A. Joiner, Jianjing Lin

NBER Working Paper No. 26455
Issued in November 2019

---- Acknowledgments ----

We have received helpful comments from Sebastian Fleitas, Mike Geruso, Josh Gottlieb, Ben Handel, Kelli Marquardt, Jeff McCullough, Jessamyn Schaller, Bob Town, and seminar participants at several institutions. This paper includes material from and supersedes "Does Hospital Electronic Medical Record Adoption Lead to Better Information or Worse Incentives?" and "Does Health IT Adoption Lead to Better Information or Worse Incentives?'" The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.

---- Disclosure of Financial Relationships for Gautam Gowrisankaran ----

• I am the co-PI of a research grant from the Agency for Healthcare Quality and Research (1R01HS024850-01) that evaluates narrow network plans, including in the small group health insurance market.

• I am the PI of a research grant from the National Science Foundation (SES-1425063) that evaluates bargaining models in the context of insurer-hospital price negotiation.

• I will serve on the U.S. Congressional Budget Office’s Technical Review Panel for evaluating health insurance simulation models.

• I am a Senior Advisor to Cornerstone Research and as such, I provide paid consulting services to healthcare providers.

• The insurance company which we consider in this study provided us with the data for this study and has graciously responded to many questions from us regarding the data and their policies in this market. They have not provided us with any financial support.

• I declare that I have no other relevant material or financial interests that relate to the research described in this paper.

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