Healthcare Economist January 14, 2022
There is mixed evidence about whether hospital mergers improve quality. On the one hand, economies of scale could lead to more investment in information technology, or allow for further specialization of services. A recent paper by Wang et al. (2022) investigates the impact of a recent hospital merger on quality in New York. The merging hospitals were described as follows:
NYU Langone Health (NYULH) is an urban academic medical system. Before the merger, NYULH consisted of a multispecialty academic acute care hospital (450 beds) and a specialized orthopedic, rheumatic, and neurologic treatment and rehabilitation hospital (190 beds). Lutheran Medical Center (450 beds)was a teaching hospital located near preexisting NYULH outpatient sites. Most individuals in its catchment area were Medicaid...