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. Author manuscript; available in PMC: 2018 Sep 22.
Published in final edited form as: J Health Econ. 2018 Feb 7;61:244–258. doi: 10.1016/j.jhealeco.2018.01.005

Table 9.

Heterogeneous effects among SNFs.

Vertical integration

Total payment Hospital payment PAC payment Total length of stay Hospital length of stay PAC length of stay 30-day readmission
Primary specification Vertical integration 2423.5***
(4.52)
149.6
(0.57)
2273.9***
(5.16)
3.90***
(3.42)
−0.74***
(−2.70)
4.64***
(4.13)
−0.054**
(−1.96)
N of discharges 2,651,748 2,651,748 2,651,748 2,651,748 2,651,748 2,651,748 2,651,748
N of provider pairs 87,440 87,440 87,440 87,440 87,440 87,440 87,440
Stratified by profit status
For-profit hospitals Vertically integrated 2518.2***
(3.57)
−223.7
(−0.64)
2741.9***
(4.76)
5.52***
(3.92)
−0.817**
(−2.40)
6.34***
(4.64)
−0.070**
(−1.99)
N of discharges 1,964,483 1,964,483 1,964,483 1,964,483 1,964,483 1,964,483 1,964,483
N of provider pairs 62,328 62,328 62,328 62,328 62,328 62,328 62,328
Not-for-profit hospitals Vertically integrated 1142.6
(1.08)
631.29
(1.57)
511.32
(0.54)
−0.542
(−0.20)
0.204
(0.32)
−0.75
(−0.28)
0.045
(0.67)
N of discharges 340,042 340,042 340,042 340,042 340,042 340,042 340,042
N of provider pairs 17,362 17.362 17,362 17,362 17,362 17,362 17,362
High cost and high variance conditions
Major joint replacement (DRG 544) Vertically integrated 985.9
(0.96)
−875.0
(−1.63)
1861.0**
(2.27)
7.10***
(3.27)
−0.18
(−0.50)
7.27***
(3.47)
0.058
(1.21)
N of discharges 352,519 352,519 352,519 352,519 352,519 352,519 352,519
N of provider pairs 38,891 38,891 38,891 38,891 38,891 38,891 38,891
Hip & femur procedures with MCC (DRG 210) Vertically integrated 4031.7
(1.39)
−594.26
(−0.28)
4,626.0**
(2.28)
10.34*
(1.87)
2.82**
(2.06)
7.52
(1.38)
−0.107
(−0.79)
N of discharges 96,435 96,435 96,435 96,435 96,435 96,435 96,435
N of provider pairs 24,825 24,825 24.825 24,825 24,825 24,825 24,825
Low cost and low variance conditions
Kidney & urinary tract infections (DRG 321) Vertically integrated 3285.0
(1.53)
463.8
(1.52)
2821.3
(1.33)
2.42
(0.41)
1.08
(1.22)
1.34
(0.22)
−0.043
(−0.28)
N of discharges 96,365 96,365 96,365 96,365 96,365 96,365 96,365
N of provider pairs 23,135 23,135 23,135 12,135 23,135 23,135 23,135
Nutritional & misc metabolic disorders (DRG 297) Vertically integrated 2246.0
(0.82)
−168.9
(−0.41)
2414.9
(0.90)
−0.50
(−0.06)
0.95
(0.74)
−1.46
(−0.19)
0.227
(1.04)
N of discharges 59,289 59,289 59,289 59,289 59,289 59,289 59,289
N of provider pairs 19.208 19.208 19.208 19,208 19,208 19,208 19,208
Syncope & collapse (DRG 141) Vertically integrated 2206.6
(0.60)
−544.8
(−0.75)
2751.3
(0.76)
2.39
(0.24)
−1.95
(−1.23)
4.34
(0.43)
−0.041
(−0.16)
N of discharges 48,841 48,841 48,841 48,841 48,841 48,841 48,841
N of provider pairs 17,389 17,389 17,389 17,389 17,389 17,389 17,389

Informal integration

Total payment Hospital payment PAC payment Total length of stay Hospital length of stay PAC length of stay 30-day readmission

Primary specification Informally integrated −204.4
(−1.23)
−326.3***
(−3.53)
121.8
(0.86)
−0.76**
(−2.09)
−0.14
(−1.48)
−0.62*
(−1.78)
0.005
(0.54)
N of discharges 2,651,748 2,651,748 2,651,748 2,651,748 2,651,748 2,651,748 2,651,748
N of provider pairs 87,440 87,440 87,440 87,440 87,440 87,440 87,440
Stratified by profit status
For-profit hospitals Informally integrated −91.9
(−0.48)
−210.1***
(−2.64)
118.2
(0.70)
−0.58
(−1.36)
−0.18*
(−1.75)
−0.40
(−0.96)
−0.000
(−0.00)
N of discharges 1,964,483 1,964,483 1,964,483 1,964,483 1,964,483 1,964,483 1,964,483
N of provider pairs 62,328 62,238 62,238 62,328 62,238 62,328 62,328
Not-for-profit hospitals Informally integrated −145.8
(−0.37)
−280.2*
(−1.78)
134.4
(0.37)
−2.18**
(−2.20)
−0.44*
(−1.67)
−1.74*
(−1.77)
0.022
(0.79)
N of discharges 340,042 340,042 340,042 340,042 340,042 340,042 340,042
N of provider pairs 17,362 17,362 17,362 17,362 17,362 17,362 17,362
High cost and high variance conditions
Major joint replacement (DRG 544) Informally integrated −475.5
(−1.35)
−232.6
(−1.34)
−242.9
(−0.88)
−1.54**
(−2.15)
−0.06
(−0.46)
−1.48**
(−2.16)
0.014
(0.85)
N of discharges 352,519 352,519 352,519 352,519 352,519 352,519 352,519
N of provider pairs 38,891 38,891 38,891 38,891 38,891 38,891 38,891
Hip & femur procedures with MCC (DRG 210) Informally integrated −708.5
(−0.88)
−801.8**
(−1.98)
93.3
(0.14)
1.03
(0.58)
0.14
(0.31)
0.89
(0.50)
0.020
(0.41)
N of discharges 96,435 96,435 96,435 96,435 96,435 96,435 96,435
N of provider pairs 24,825 24,825 24,825 24,825 24,825 24,825 24,825
Low cost and low variance conditions
Kidney & urinary tract infections (DRG 321) Informally integrated 413.8
(0.56)
−126.6
(−1.12)
540.4
(0.74)
−2.72
(−1.40)
−0.64**
(−2.07)
−2.08
(−1.08)
0.046
(0.80)
N of discharges 96,365 96,365 96,365 96,365 96,365 96,365 96,365
N of provider pairs 23,135 23,135 23,135 23,135 23,135 23,135 23,135
Nutritional & misc metabolic disorders (DRG 297) Informally integrated 236.2
(0.27)
−276.7*
(−1.80)
512.9
(0.60)
−0.38
(−0.15)
−0.62
(−1.50)
0.23
(0.09)
0.026
(0.36)
N of discharges 59,289 59,289 59,289 59,289 59,289 59,289 59,289
N of provider pairs 19,208 19,208 19,208 19,208 19.208 19,208 19,208
Syncope & collapse (DRG 141) Informally integrated 640.5
(0.57)
−85.2
(−0.46)
725.7
(0.65)
1.32
(0.42)
−0.15
(−0.29)
4.34
(0.43)
−0.134
(−1.55)
N of discharges 48,841 48,841 48,841 48,841 48,841 48,841 48,841
N of provider pairs 17,389 17,389 17,389 17,389 17,389 17,389 17,389

Note: Regressions include all the covariates reported in Table 3, a full set of DRG controls, hospital-PAC-pair fixed effects, and year fixed effects.

Robust t-statistics in parentheses.

*

p < .10,

**

p < .05,

***

p < .01.