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. Author manuscript; available in PMC: 2016 May 1.
Published in final edited form as: J Health Econ. 2015 Feb 19;41:133–147. doi: 10.1016/j.jhealeco.2015.02.002

Table 5.

Quality Results

Standard DID Two-step DID Two-step FGLS Two-step FGLS
(1) (2) (3) (4)
A. Dependent variable: pressure ulcer worsening rate
Wage pass-through −0.00857** (0.00375) −0.00923** (0.00363) −0.00868** (0.00344) −0.00868** (0.00362)
State minimum nursing hours −0.000647 (0.00248) 0.00265 (0.00496) 0.00283 (0.00479) 0.00283 (0.00574)
Medicaid payment rate −0.00145 (0.00102) −0.00174 (0.00161) −0.00159 (0.00144) −0.00159 (0.00152)
Case-mix reimbursement 0.00869 (0.00690) 0.0217** (0.0105) 0.0217** (0.00924) 0.0217** (0.01067)
AR(1) coefficient 0.11 0.11
No. of observations 193,370 288 288 288
B. Dependent variable: ADL decline rate
Wage pass-through −0.0183** (0.00756) −0.00616 (0.00887) −0.00459 (0.00731) −0.00459 (0.00778)
State minimum nursing hours 0.00116 (0.00332) −0.00342 (0.00503) −0.00298 (0.00460) −0.00298 (0.00502)
Medicaid payment rate 0.00684*** (0.00192) 0.00697** (0.00287) 0.00531* (0.00272) 0.00531* (0.00289)
Case-mix reimbursement 0.00431 (0.0166) 0.0211 (0.0241) 0.0104 (0.0226) 0.0104 (0.0257)
AR(1) coefficient 0.39 0.39
No. of observations 181,651 288 288 288
C. Dependent variable: persistent pain rate
Wage pass-through 0.00139 (0.00955) 0.00797 (0.00937) 0.00666 (0.00657) 0.00666 (0.00708)
State minimum nursing hours −0.00480 (0.00669) −0.00453 (0.00685) −0.00577 (0.00752) −0.00577 (0.00923)
Medicaid payment rate 0.00672 (0.00506) 0.00484 (0.00643) 0.00317 (0.00504) 0.00317 (0.00555)
Case-mix reimbursement −0.0303 (0.0209) −0.0201 (0.0215) −0.0108 (0.0169) −0.0108 (0.0197)
AR(1) coefficient 0.46 0.46
No. of observations 191,694 288 288 288

Notes: All specifications include facility and year fixed effects. All facility and market variables listed in Table 2 are included in the standard DD procedure and the first-step of the two-step procedures. Columns (1) to (3) use standard errors clustered by state and column (4) uses standard errors jack-knifed at the state level. Medicaid repayment rate is in $10 increments.

*, **, and ***

indicate significance at the 10%, 5%, and 1 % level, respectively.