Longterm Returns to Local Healthcare Spending

Working Paper: CEPR ID: DP17632

Authors: Jan C. van Ours; Jakub Cerveny

Abstract: This paper investigates the effects of health-care spending on mortality rates of heart attack patients. We relate in-hospital deaths to in-hospital end-of-life spending and post-discharge deaths to post-discharge health-care spending. In our analysis, we use detailed administrative data on individual personal characteristics and information about health-care expenses at the regional level. To account for potential selectivity in the region of health-care treatment we compare local patients with visitors and stayers with recent movers from a different region. In regions with higher health-care spending mortality after heart attacks is substantially lower. Apparently, there are long-term returns to local health-care spending.

Keywords: healthcare spending; heart attack; mortality; duration models

JEL Codes: C41; H75; I11; I18


Causal Claims Network Graph

Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.


Causal Claims

CauseEffect
higher regional healthcare spending (H51)lower mortality rates following heart attacks (I12)
in-hospital end-of-life spending (H51)in-hospital mortality (I12)
post-discharge healthcare spending (H51)mortality after hospital discharge (I12)
higher regional healthcare spending (H51)lower in-hospital mortality (I14)
higher regional healthcare spending (H51)lower post-discharge mortality (I12)

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