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. Author manuscript; available in PMC: 2016 Mar 15.
Published in final edited form as: Rev Econ Stat. 2015 Dec 8;97(5):951–964. doi: 10.1162/REST_a_00535

Appendix A.2.

Coefficients of Translog Production Function Estimate with Factor A and Factor B

Without Hospital Fixed Effects With Hospital Fixed Effects
ln(DRG) 0.319
(0.018)
0.227
(0.017)
ln(DRG)2 −0.106
(0.007)
−0.063
(0.006)
Factor A 0.028
(0.004)
Factor A2 0.0003
(0.008)
Factor A * ln(DRG) −0.010
(0.002)
−0.004
(1.46)
Factor B −0.021
(0.005)
Factor B2 −0.004
(0.001)
Factor B * ln(DRG) 0.017
(0.004)
0.021
(0.003)
Factor A * Factor B 0.004
(0.002)
  R2 0.10 0.27

Notes: Each column presents regression results from a generalized translog production function (year effects included but not reported), clustered at the hospital level. The dependent variable is one-year risk-adjusted survival. Column 1 presents coefficients without hospital-level fixed effects; Column 2 includes hospital-level fixed effects. Note that many of the Factor A and Factor B coefficients drop out of Column 2 because of hospital fixed effects. For sample description and variable definitions see the notes to table 6.