Skip Navigation LinksHome > October/December 2005 - Volume 30 - Issue 4 > Is It Resources, Habit or Both: Interpreting Twenty Years of...
Health Care Management Review:
Features

Is It Resources, Habit or Both: Interpreting Twenty Years of Hospital Strategic Response to Prospective Payment

Balotsky, Edward R.

Collapse Box

Abstract

Abstract: The 1983 Tax Equity and Fiscal Responsibility Act (TEFRA) transformed acute care from a benevolent to malevolent environment. A dual-paradigm of resource dependency and institutional theories that balances isomorphic with economic variables has emerged to better explain hospital strategic response to the resultant constraint on resources than a traditional single paradigm approach. Using the population of non-rural, non-federal acute-care hospitals, strategic response from 1982 to 2001 is studied; distinct cost and service changes occur. Cost strategy is linked primarily to Medicare utilization, a resource dependence response. Service strategy favors high technology regardless of prospective payment diffusion, an institutional theory perspective. Strategic implications are discussed.

© 2005 Lippincott Williams & Wilkins, Inc.

Login

Article Tools

Share

Article Level Metrics

Search for Similar Articles
You may search for similar articles that contain these same keywords or you may modify the keyword list to augment your search.