Effects of Medicare payment reform: Evidence from the home health interim and prospective payment systems

B-Tier
Journal: Journal of Health Economics
Year: 2014
Volume: 34
Issue: C
Pages: 1-18

Authors (5)

Huckfeldt, Peter J. (not in RePEc) Sood, Neeraj (University of Southern Califor...) Escarce, José J. (not in RePEc) Grabowski, David C. (not in RePEc) Newhouse, Joseph P. (National Bureau of Economic Re...)

Score contribution per author:

0.402 = (α=2.01 / 5 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Medicare continues to implement payment reforms that shift reimbursement from fee-for-service toward episode-based payment, affecting average and marginal payment. We contrast the effects of two reforms for home health agencies. The home health interim payment system in 1997 lowered both types of payment; our conceptual model predicts a decline in the likelihood of use and costs, both of which we find. The home health prospective payment system in 2000 raised average but lowered marginal payment with theoretically ambiguous effects; we find a modest increase in use and costs. We find little substantive effect of either policy on readmissions or mortality.

Technical Details

RePEc Handle
repec:eee:jhecon:v:34:y:2014:i:c:p:1-18
Journal Field
Health
Author Count
5
Added to Database
2026-01-26