Working Paper: NBER ID: w23880
Authors: Nicholas Bloom; Renata Lemos; Raffaella Sadun; John Van Reenen
Abstract: We investigate the link between hospital performance and managerial education by collecting a large database of management practices and skills in hospitals across nine countries. We find that hospitals that are closer to universities offering both medical education and business education have higher management quality, more MBA trained managers and lower mortality rates. This is true compared to the distance to universities that offer only business or medical education (or neither). We argue that supplying joint MBA-healthcare courses may be a channel through which universities increase medical business skills and raise clinical performance.
Keywords: management practices; hospital performance; managerial education; healthcare; business education
JEL Codes: I18; L32; M20; M5
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Proximity to universities offering joint medical and business education (M19) | Higher management quality (L15) |
| Higher management quality (L15) | Lower mortality rates from acute myocardial infarction (AMI) (I12) |
| Proximity to universities offering joint medical and business education (M19) | Improved clinical outcomes (I11) |
| Distance to universities offering joint MBA school (M19) | Increased AMI mortality rates (I12) |
| One standard deviation increase in management scores (D29) | Fall of 0.188 standard deviations in AMI death rates (I12) |
| Distance to universities offering only business or medical education (M19) | Management quality (L15) |