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Main Authors: Stratmann, Thomas, Bjoerkheim, Markus, Koopman, Christopher
Format: Preprint
Published: 2024
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Online Access:https://arxiv.org/abs/2405.08160
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author Stratmann, Thomas
Bjoerkheim, Markus
Koopman, Christopher
author_facet Stratmann, Thomas
Bjoerkheim, Markus
Koopman, Christopher
contents In many states, certificate-of-need (CON) laws prevent ambulatory surgical centers (ASCs) from entering the market or expanding their services. This paper estimates the causal effects of state ASC-CON law repeal on the accessibility of medical services statewide, as well as for rural areas. Our findings show that CON law repeals increase ASCs per capita by 44-47% statewide and 92-112% in rural areas. Repealing ASC-CON laws causes a continuous increase in ASCs per capita, an effect which levels off ten years after repeal. Contrary to the 'cream-skimming' hypothesis, we find no evidence that CON repeal is associated with hospital closures in rural areas. Rather, some regression models show that repeal is associated with fewer medical service reductions.
format Preprint
id arxiv_https___arxiv_org_abs_2405_08160
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle The Causal Effect of Repealing Certificate-of-Need Laws for Ambulatory Surgical Centers: Does Access to Medical Services Increase?
Stratmann, Thomas
Bjoerkheim, Markus
Koopman, Christopher
General Economics
Economics
In many states, certificate-of-need (CON) laws prevent ambulatory surgical centers (ASCs) from entering the market or expanding their services. This paper estimates the causal effects of state ASC-CON law repeal on the accessibility of medical services statewide, as well as for rural areas. Our findings show that CON law repeals increase ASCs per capita by 44-47% statewide and 92-112% in rural areas. Repealing ASC-CON laws causes a continuous increase in ASCs per capita, an effect which levels off ten years after repeal. Contrary to the 'cream-skimming' hypothesis, we find no evidence that CON repeal is associated with hospital closures in rural areas. Rather, some regression models show that repeal is associated with fewer medical service reductions.
title The Causal Effect of Repealing Certificate-of-Need Laws for Ambulatory Surgical Centers: Does Access to Medical Services Increase?
topic General Economics
Economics
url https://arxiv.org/abs/2405.08160