963
Views
7
CrossRef citations to date
0
Altmetric
Original Articles

Strategic Cost Management and Institutional Changes in Hospitals

&
Pages 499-531 | Received 01 Jul 2010, Accepted 01 Nov 2011, Published online: 22 Mar 2012

References

  • Ahn , S. and Schmidt , P. 1995 . Efficient estimation of models for dynamic panel data . Journal of Econometrics , 68 ( 1 ) : 5 – 27 .
  • Arellano , M. and Bover , O. 1995 . Another look at the instrumental-variable estimation of error-components models . Journal of Econometrics , 68 ( 1 ) : 29 – 52 .
  • Baker , L. 1999 . Association of managed care market share and health expenditures for fee-for-service Medicare patients . Journal of the American Medical Association , 281 ( 5 ) : 432 – 437 .
  • Baker , L. and Shankarkumar , S. 1997 . Managed care and health care expenditures: evidence from Medicaid, 1990–1994, NBER Working Paper No. 6187
  • Blanchard , G. , Chow , C. and Noreen , E. 1986 . Information asymmetry, incentive schemes, and information biasing: the case of hospital budgeting under rate regulation . The Accounting Review , 61 ( 1 ) : 1 – 15 .
  • Brooks , J. M. , Dor , A. and Wong , H. S. 1997 . Hospital-insurer bargaining: an empirical investigation of appendectomy pricing . Journal of Health Economics , 16 ( 4 ) : 417 – 434 .
  • Bushee , B. 1998 . The influence of institutional investors on myopic R&D investment behavior . The Accounting Review , 73 ( 3 ) : 305 – 333 .
  • Busse , R. , Schreyögg , J. and Smith , P. C. 2006 . Hospital case payment systems in Europe . Health Care Management Science , 9 ( 3 ) : 211 – 213 .
  • Cavalluzzo , K. S. , Ittner , C. D. and Larcker , D. F. 1998 . Competition, efficiency, and cost allocation in government agencies: evidence on the Federal Reserve System . Journal of Accounting Research , 36 ( 3 ) : 1 – 32 .
  • Caves , R. E. and Porter , M. E. 1978 . Market structure, oligopoly, and stability of market shares . Journal of Industrial Economics , 26 ( 4 ) : 289 – 313 .
  • Christensen , J. and Demski , J. S. 2003 . Factor choice distortion under cost-based reimbursement . Journal of Management Accounting Research , 15 : 145 – 160 .
  • Clement , J. P. 1997 . Dynamic cost shifting in hospitals: evidence from the 1980s and 1990s . Inquiry , 34 ( 4 ) : 340 – 350 .
  • Commission of the European Communities . 1980 . Ninth Report on Competition Policy , Luxembourg : Office for Official Publications of the European Communities .
  • Covaleski , M. A. and Dirsmith , M. W. 1991 . The management of legitimacy and politics in public sector administration . Journal of Accounting and Public Policy , 10 ( 2 ) : 135 – 156 .
  • Covaleski , M. A. , Dirsmith , M. W. and Michelman , J. E. 1993 . An institutional theory perspective on the DRG framework, case-mix accounting systems and health-care organizations . Accounting, Organizations and Society , 18 ( 1 ) : 65 – 80 .
  • Currie , J. and Fahr , J. 2004 . Hospitals, managed care, and the charity caseload in California . Journal of Health Economics , 23 ( 3 ) : 421 – 442 .
  • Davies , S. W. and Geroski , P. A. 1997 . Changes in concentration, turbulence and the dynamics of market shares . Review of Economics and Statistics , 79 ( 3 ) : 383 – 391 .
  • Demski , J. S. and Magee , R. P. 1992 . A perspective on accounting for defense contracts . The Accounting Review , 67 ( 3 ) : 723 – 740 .
  • Department of Health and Human Services . 1983 . Federal Register: Part Four – Health Care Financing Administration; Medicare Program; Prospective Payments for Medicare Inpatient Hospital Services; Interim Final Rule with Comment Period , Washington , DC : US Government Printing Office .
  • DiMaggio , P. J. and Powell , W. W. 1983 . The iron cage revisited: institutional isomorphism and collective rationality in organizational fields . American Sociological Review , 48 ( 2 ) : 147 – 160 .
  • Dor , A. and Farley , D. E. 1996 . Payment source and the cost of hospital care: evidence from a multiproduct cost function with multiple payers . Journal of Health Economics , 15 ( 1 ) : 1 – 21 .
  • Dranove , D. 1988 . Pricing by non-profit institutions . Journal of Health Economics , 7 ( 1 ) : 47 – 57 .
  • Dranove , D. , Shanley , M. and White , W. D. 1993 . Price and concentration in hospital markets: the switch from patient-driven to payer-driven competition . Journal of Law and Economics , 36 ( 1 ) : 179 – 204 .
  • Eldenburg , L. and Kallapur , S. 1997 . Changes in hospital service mix and cost allocations in response to changes in Medicare reimbursement schemes . Journal of Accounting and Economics , 23 ( 1 ) : 31 – 51 .
  • Eldenburg , L. and Kallapur , S. 2000 . The effects of changes in cost allocations on the assessment of cost containment regulation in hospitals . Journal of Accounting and Public Policy , 19 ( 2 ) : 97 – 112 .
  • Eldenburg , L. and Soderstrom , N. 1996 . Accounting system management by hospitals operating in a changing regulatory environment . The Accounting Review , 71 ( 1 ) : 2 – 42 .
  • Eldenburg , L. and Vines , C. C. 2004 . Nonprofit classification decisions in response to a change in accounting rules . Journal of Accounting and Public Policy , 23 ( 1 ) : 1 – 22 .
  • Fields , T. D. , Lys , T. Z. and Vincent , L. 2001 . Empirical research on accounting choice . Journal of Accounting and Economics , 31 ( 1–3 ) : 255 – 307 .
  • Fonfria , A. and Correa-Burrows , P. 2010 . Effects of military spending on the profitability of Spanish defence contractors . Defence and Peace Economics , 21 ( 2 ) : 179 – 191 .
  • Gaynor , M. and Anderson , G. F. 1995 . Uncertain demand, the structure of hospital costs, and the cost of empty beds . Journal of Health Economics , 14 ( 3 ) : 291 – 317 .
  • Goodrick , E. and Salancik , G. R. 1996 . Organizational discretion in responding to institutional practices: hospitals and Caesarean births . Administrative Science Quarterly , 41 ( 1 ) : 1 – 28 .
  • Greening , D. W. and Gray , B. 1994 . Testing a model of organizational response to social and political issues . Academy of Management Journal , 37 ( 3 ) : 467 – 498 .
  • Hsu , S. H. 2008 . Allocation information and operational strategies . Information Systems Management , 25 ( 3 ) : 258 – 265 .
  • Krishnan , R. 2000 . Market restructuring and pricing in the hospital industry . Journal of Health Economics , 20 ( 2 ) : 213 – 237 .
  • Krishnan , R. 2005 . The effect of changes in regulation and competition on firms' demand for accounting information . The Accounting Review , 80 ( 1 ) : 267 – 287 .
  • Krishnan , R. and Yetman , M. 2011 . Institutional drivers of reporting decisions in nonprofit hospitals . Journal of Accounting Research , 49 ( 4 ) : 1001 – 1039 .
  • Krishnan , R. , Yetman , M. H. and Yetman , R. J. 2006 . Expense misreporting in nonprofit organizations . The Accounting Review , 81 ( 2 ) : 399 – 421 .
  • Kwoka , J. E. Jr. 1977 . Large firm dominance and price–cost margins in manufacturing industries . Southern Economic Journal , 44 ( 1 ) : 783 – 789 .
  • Majumdar , S. K. and Chang , H. H . 2010 . On the determinants of non-market strategy: the separations mechanism and cost shifting in the telecommunications industry . Telecommunications Policy , 34 ( 11 ) : 711 – 725 .
  • Mayes , R. 2007 . The origins, development, and passage of Medicare's revolutionary Prospective Payment System . Journal of the History of Medicine and Allied Sciences , 62 ( 1 ) : 21 – 55 .
  • Melnick , G. , Zwanziger , J. , Bamezai , A. and Pattison , R. 1992 . The effects of market structure and bargaining position on hospital prices . Journal of Health Economics , 11 ( 3 ) : 217 – 233 .
  • Meltzer , D. , Chung , J. and Basu , A. 2002 . Does competition under Medicare prospective payment selectively reduce expenditures on high-cost patients? . RAND Journal of Economics , 33 ( 3 ) : 447 – 468 .
  • Meyer , J. W. and Rowan , B. 1977 . Institutionalized organizations: formal structure as myth and ceremony . American Journal of Sociology , 83 ( 2 ) : 340 – 363 .
  • Modell , S. 2002 . Institutional perspectives on cost allocations: integration and extension . European Accounting Review , 11 ( 4 ) : 653 – 679 .
  • Morrisey , M. 1996 . Hospital Cost Shifting: A Continuing Debate EBRI Issue Brief No. 180 (Washington, DC: Employee Benefit Research Institute)
  • Morrisey , M. A. 2001 . Competition in hospital and health insurance markets: a review and research agenda . Health Services Research , 36 ( 1 ) : 191 – 221 .
  • Neter , J. , Kutner , M. H. , Nachtsheim , C. J. and Wasserman , W. 1996 . Applied Linear Statistical Models , 4 , Chicago : Irwin .
  • Noether , M. 1988 . Competition among hospitals . Journal of Health Economics , 7 ( 3 ) : 259 – 284 .
  • Office of Statewide Health Planning and Development . 2003 . Accounting & Reporting Manual for California Hospitals , 2 , Sacramento , CA : OSHPD .
  • Oliver , C. 1991 . Strategic responses to institutional processes . Academy of Management Review , 16 ( 1 ) : 145 – 179 .
  • Pettersen , I. J. 2001 . Implementing management accounting reforms in the public sector: the difficult journey from intentions to effects . European Accounting Review , 10 ( 3 ) : 561 – 581 .
  • Pfeffer , J. and Salancik , G. R. 1978 . The External Control of Organizations , New York : Harper & Row .
  • Porter , M. E. 1980 . Competitive Strategy: Techniques for Analyzing Industries and Competitors , New York : Free Press .
  • Robinson , J. C. 1991 . HMO market penetration and hospital cost inflation in California . Journal of the American Medical Association , 266 ( 19 ) : 2719 – 2723 .
  • Robinson , J. and Luft , H. 1985 . The impact of hospital market structure on patient volume, length of stay and the cost of care . Journal of Health Economics , 4 ( 4 ) : 333 – 356 .
  • Rogerson , W. P. 1992 . Overhead allocation and incentives for cost minimization in defense procurement . The Accounting Review , 67 ( 4 ) : 671 – 690 .
  • Rogerson , W. P. 1994 . Economic incentives and the defense procurement process . Journal of Economic Perspectives , 8 ( 4 ) : 65 – 90 .
  • Roychowdhury , S. 2006 . Earnings management through real activities manipulation . Journal of Accounting and Economics , 42 ( 3 ) : 335 – 370 .
  • Schreyögg , J. , Stargardt , T. , Tiemann , O. and Busse , R. 2006 . Methods to determine reimbursement rates for diagnosis related groups (DRG): a comparison of nine European countries . Health Care Management Science , 9 ( 3 ) : 215 – 223 .
  • Sheingold , S. H. 1986 . Unintended results of Medicare's national prospective payment rates . Health Affairs , 5 ( 4 ) : 5 – 21 .
  • Sherer , P. D. and Lee , K. 2002 . Institutional change in large law firms: a resource dependency and institutional perspective . Academy of Management Journal , 45 ( 1 ) : 102 – 119 .
  • Showstack , J. A. , Rosenfeld , K. E. , Garnick , D. W. , Luft , H. S. , Schaffarzick , R. W. and Fowles , J. 1987 . Association of volume with outcome of coronary artery bypass graft surgery: scheduled vs. nonscheduled operations . Journal of the American Medical Association , 257 ( 6 ) : 785 – 789 .
  • Starr , P. 1982 . The Social Transformation of American Medicine: The Rise of a Sovereign Profession and the Making of a Vast Industry , New York : Basic Books .
  • Tarlov , A. R. 1986 . HMO enrollment growth and physicians: the third compartment . Health Affairs , 5 ( 1 ) : 23 – 35 .
  • Thomas , J. and Tung , S. 1992 . Cost manipulation incentives under cost reimbursement: pension costs for defense contracts . The Accounting Review , 67 ( 4 ) : 691 – 711 .
  • White , A. P. 1983 . The Dominant Firm: A Study of Market Power , Ann Arbor , MI : UMI Research Press .
  • Winkelman , J. W. , Aitken , J. L. and Wybenga , D. R. 1991 . Cost savings in a hospital clinical laboratory with a pay-for-performance incentive program for supervisors . Archives of Pathology & Laboratory Medicine , 115 ( 1 ) : 38 – 41 .
  • Zwanziger , J. , Melnick , G. and Bamezai , A. 2000 . The effect of selective contracting on hospital costs and revenues . Health Services Research , 35 ( 4 ) : 849 – 867 .

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.