The impact of quality on hospital choice. Which information affects patients’ behavior for colorectal resection or knee replacement?

Item Type Journal paper
Abstract

Quality competition among hospitals, induced by patients freely choosing their hospital in a price regulated market, can only be realized if quality differences between hospitals are transparent, understandable, and thus influence patients’ hospital choice. We use data from ~145,000 German patients and ~ 900 hospitals for colorectal resections and knee replacements to investigate whether patients value quality and specialization when choosing their hospital. Using a random utility choice model, we estimate patients’ marginal utilities, willingness to travel and change in hospital demand for quality improvements. Patients respond to service quality and specialization and thus, quality competition seems to be present. Colorectal resection patients are willing to travel longer for more specialized hospitals (+9% for procedure volume, +9% for certification). Knee replacement patients travel longer for hospitals with better service quality (+6%) and higher procedure volume (+12%). However, clinical quality indicators, often difficult to access and interpret, barely play a role in patients’ hospital choice. Furthermore, we find that competition on quality for colorectal resection is rather local, whereas for knee replacement we observe regional competition patterns.

Authors Kuklinski, David; Vogel, Justus & Geissler, Alexander
Journal or Publication Title Health Care Management Science
Language English
Subjects health sciences
HSG Classification contribution to scientific community
Refereed Yes
Date 27 January 2021
Publisher Springer Nature Switzerland AG
Number of Pages 18
Publisher DOI 10.1007/s10729-020-09540-2
Official URL https://link.springer.com/article/10.1007/s10729-0...
Contact Email Address alexander.geissler@unisg.ch
Depositing User Anita Koller
Date Deposited 02 Feb 2021 15:32
Last Modified 02 Feb 2021 15:32
URI: https://www.alexandria.unisg.ch/publications/262237

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Citation

Kuklinski, David; Vogel, Justus & Geissler, Alexander (2021) The impact of quality on hospital choice. Which information affects patients’ behavior for colorectal resection or knee replacement? Health Care Management Science,

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https://www.alexandria.unisg.ch/id/eprint/262237
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