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Competition amongst hospitals = better management

 
 
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adigaskell
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PostPosted: Mon Oct 25, 2010 11:09 am    Post subject: Competition amongst hospitals = better management Reply with quote

More importantly, we find that higher competition (as indicated by a greater number of neighboring hospitals) is positively correlated with increased management quality, and this relationship strengthens when we instrument the number of local hospitals with local political competition. Adding another rival hospital increases the index of management quality by one third of a standard deviation and leads to a 10.7% reduction in heart-attack mortality rates.

http://eprints.lse.ac.uk/28731/
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