Table 7.

Relationship between Medical Liability Immunity and Treatment Intensity (Relative Weighted Product, Logged), Separately for States with and without Damages Caps

	(1)	(2)
	State-Year Cells Without Caps (Higher Liability Pressure States)	State-Year Cells With Caps (Lower Liability Pressure States)	All States
Active Duty Patient	0.035 (0.004)	0.035 (0.004)	0.035 (0.007)
Active Duty Patient X MTF	−0.065 (0.007)	−0.044 (0.005)	−0.065 (0.011)
Active Duty Patient X MTF X Incidence of Damages Cap	-	-	0.021 (0.012)
N	638037	1389595	2027632

Notes: robust standard errors corrected for within-catchment-area correlation in the error term are reported in parentheses. The estimated coefficients of the caps indicator and its interaction with MTF and with the active-duty patient indicator are not shown for purposes of brevity. All regressions include year fixed effects, primary diagnosis code fixed effects, hospital fixed effects, zip-code fixed effects and controls for patient age (dummies), sex, Charlson comorbidity and paygrade (dummies). MTF and Active-Duty-Patient X MTF are instrumented by a series of dummy variables capturing different distance bins between a patient’s residence and the closest MTF along with the interaction between such dummies and the active-duty-patient dummy. The coefficient of the MTF indicator is dropped due to the inclusion of provider fixed effects.