Table 3–

Outcomes Associated with Observation versus Short-Stay Hospitalization Among Medicare Beneficiaries (Percentage Point Change)

	Return ED Visit		Readmission		Mortality
	30-Day	90-Day	30-Day	90-Day	In-Event	30-Day	90-Day
Observation Stay	1.0***	2.1***	−3.4***	−4.2***	−9.6***	−1.9***	−2.2***
	(0.04)	(0.05)	(0.04)	(0.05)	(0.02)	(0.02)	(0.03)
% Change relative to sample mean	8.6%	9.1%	−27.6%	−17.9%	−174.5%	−65.5%	−37.3%
Sample mean [SD]	11.6 [32.1]	23.0 [42.1]	12.3 [32.9]	23.4 [42.3]	5.5 [22.8]	2.9 [16.7]	5.9 [23.5]
Model Observations	3,075,568	3,013,941	3,089,282	3,058,910	3,554,626	3,155,052	3,155,052
Sample observations	3,266,206	3,200,857	3,280,835	3,248,710	3,769,293	3,350,604	3,350,604

Source: Authors’ analysis of Medicare claims data, 2007 – 2010.

Note: Standard errors in parentheses.

^***p<0.01