Appendix Table 2.

Effect of benchmark on bids, market-level longitudinal model (HMO, local PPO, and PFFS plans).

Variables	(1)	(2)	(3)	(4)	(5)	(6)	(7)	(8)	(9)
	Base IV	No county risk	No plan risk	Linear year	Unweighted	Large markets	Interaction	HHI	HHI* bench
Benchmark	0.431*** (0.0945)	0.494*** (0.101)	0.468*** (0.0831)	0.447*** (0.0704)	0.386*** (0.0912)	0.459*** (0.0881)	0.467*** (0.145)	0.435*** (0.0995)	0.485*** (0.144)
Risk (FFS)	−233.0*** (59.62)		−224.9*** (58.89)	−243.2*** (59.14)	−206.0*** (55.59)	−231.7*** (62.73)	−229.0*** (61.12)	−221.6*** (62.95)	−223.5*** (63.43)
Risk (Plan)	89.00*** (27.41)	82.66*** (30.90)		80.94*** (29.29)	88.28*** (27.46)	74.09* (41.42)	86.20*** (28.60)	87.33*** (27.47)	89.66*** (27.23)
FFS cost	0.281*** (0.0785)	0.0386 (0.0299)	0.278*** (0.0770)	0.262*** (0.0740)	0.319*** (0.0729)	0.254*** (0.0808)	0.276*** (0.0801)	0.269*** (0.0827)	0.271*** (0.0832)
Pop (1000s)	−0.0449* (0.0251)	−0.0585** (0.0249)	−0.0465** (0.0235)	0.0283 (0.0199)	0.0240 (0.0396)	−0.0559* (0.0301)	−0.0311 (0.0196)	−0.0587** (0.0246)	−0.0673** (0.0297)
Insurers	−1.514*** (0.357)	−1.214*** (0.384)	−1.345*** (0.345)	−2.480*** (0.335)	−2.340*** (0.571)	−1.255*** (0.396)	1.377 (4.856)	−1.391*** (0.360)	−1.370*** (0.354)
Insurers* Bench							−0.00348 (0.00577)
HHI (beds)								−0.00783* (0.00427)	0.0116 (0.0234)
HHI* Bench									−2.41e-05 (2.76e-05)
Market FE	Y	Y	Y	Y	Y	Y	Y	Y	Y
Year FE	Y	Y	Y		Y	Y	Y	Y	Y
Year (linear)				13.74*** (0.765)
Observations	15,267	15,267	15,267	15,267	15,267	6,860	15,267	15,267	15,267
Partial R(2)	0.710	0.685	0.702	0.682	0.728	0.690	0.710	0.712	0.712
Markets	3,105	3,105	3,105	3,105	3,105	1,394	3,105	3,105	3,105

Robust standard errors in parentheses clustered by state.

^***p<0.01,

^**p<0.05,

^*p<0.1