IDEAS home Printed from https://ideas.repec.org/a/eee/socmed/v73y2011i1p153-159.html
   My bibliography  Save this article

The effect of outpatient dialysis global budget cap on healthcare utilization by end-stage renal disease patients

Author

Listed:
  • Chang, Ray-E.
  • Hsieh, Chi-Jeng
  • Myrtle, Robert C.

Abstract

Controlling the cost of chronic diseases remains one of the vexing problems of developed and developing nations alike. Taiwan, faced with rapidly escalating healthcare costs associated with End Stage Renal Disease (ESRD) services utilization, imposed an outpatient dialysis global budget (ODBG) on outpatient dialysis care. This study, using a before and after study design with a comparison group, assessed the impact of this policy innovation on outpatient, inpatient and emergency room utilization. Using a difference in difference (DID) strategy and the generalized estimating equation (GEE) approach, this study found providers responded to these changes through cost reduction and revenue enhancement strategies. This study extends our understanding of provider responses to changes in reimbursement policies that target one segment of the continuum of care required by chronic disease patients.

Suggested Citation

  • Chang, Ray-E. & Hsieh, Chi-Jeng & Myrtle, Robert C., 2011. "The effect of outpatient dialysis global budget cap on healthcare utilization by end-stage renal disease patients," Social Science & Medicine, Elsevier, vol. 73(1), pages 153-159, July.
    • Handle: RePEc:eee:socmed:v:73:y:2011:i:1:p:153-159
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0277953611002814
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. van de Ven, Wynand P. M. M., 1995. "Regulated competition in health care: With or without a global budget?," European Economic Review, Elsevier, vol. 39(3-4), pages 786-794, April.
    2. Mougeot, Michel & Naegelen, Florence, 2005. "Hospital price regulation and expenditure cap policy," Journal of Health Economics, Elsevier, vol. 24(1), pages 55-72, January.
    3. Chu, David K.W., 1992. "Global budgeting of hospitals in Hong Kong," Social Science & Medicine, Elsevier, vol. 35(7), pages 857-868, October.
    4. Fan, Chinn-Ping & Chen, Kong-Pin & Kan, Kamhon, 1998. "The design of payment systems for physicians under global budget - an experimental study," Journal of Economic Behavior & Organization, Elsevier, vol. 34(2), pages 295-311, February.
    5. repec:mpr:mprres:3869 is not listed on IDEAS
    6. Cutler, David M, 1995. "The Incidence of Adverse Medical Outcomes under Prospective Payment," Econometrica, Econometric Society, vol. 63(1), pages 29-50, January.
    7. Avi Dor & Mark Pauly & Margaret Eichleay & Philip Held, 2007. "End-stage renal disease and economic incentives: the International Study of Health Care Organization and Financing (ISHCOF)," International Journal of Health Economics and Management, Springer, vol. 7(2), pages 73-111, September.
    8. Office of Health Economics, 2007. "The Economics of Health Care," For School 001490, Office of Health Economics.
    9. James M. Poterba, 1994. "A Skeptic's View of Global Budget Caps," Journal of Economic Perspectives, American Economic Association, vol. 8(3), pages 67-73, Summer.
    10. Miaw-Chwen Lee & Andrew M. Jones, 2004. "How did Dentists Respond to the Introduction of Global Budgets in Taiwan? An Evaluation Using Individual Panel Data," International Journal of Health Economics and Management, Springer, vol. 4(4), pages 307-326, December.
    11. Mitchell, Jean M. & Sass, Tim R., 1995. "Physician ownership of ancillary services: Indirect demand inducement or quality assurance?," Journal of Health Economics, Elsevier, vol. 14(3), pages 263-289, August.
    12. Benstetter, Franz & Wambach, Achim, 2006. "The treadmill effect in a fixed budget system," Journal of Health Economics, Elsevier, vol. 25(1), pages 146-169, January.
    13. Avi Dor & Mark V. Pauly & Margaret A. Eichleay & Philip J. Held, 2007. "End-stage Renal Disease and Economic Incentives: The International Study of Health Care Organization and Financing," NBER Working Papers 13125, National Bureau of Economic Research, Inc.
    14. Mougeot, Michel & Naegelen, Florence, 2005. "Hospital price regulation and expenditure cap policy," Journal of Health Economics, Elsevier, vol. 24(1), pages 55-72, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hung-pin Lai & Meng-Chi Tang, 2018. "Hospital efficiency under global budgeting: evidence from Taiwan," Empirical Economics, Springer, vol. 55(3), pages 937-963, November.
    2. Ren-Yeong Huang & Yuh-Feng Lin & Sen-Yeong Kao & Yi-Shing Shieh & Jin-Shuen Chen, 2014. "A Retrospective Case-Control Analysis of the Outpatient Expenditures for Western Medicine and Dental Treatment Modalities in CKD Patients in Taiwan," PLOS ONE, Public Library of Science, vol. 9(2), pages 1-9, February.
    3. Lin, Lee-Kai, 2022. "Effects of a global budget payment scheme on medical specialty workforces," Social Science & Medicine, Elsevier, vol. 309(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hung-pin Lai & Meng-Chi Tang, 2018. "Hospital efficiency under global budgeting: evidence from Taiwan," Empirical Economics, Springer, vol. 55(3), pages 937-963, November.
    2. Kamhon Kan & Shu-Fen Li & Wei-Der Tsai, 2014. "The impact of global budgeting on treatment intensity and outcomes," International Journal of Health Economics and Management, Springer, vol. 14(4), pages 311-337, December.
    3. Pi-Fem Hsu, 2014. "Does a global budget superimposed on fee-for-service payments mitigate hospitals’ medical claims in Taiwan?," International Journal of Health Economics and Management, Springer, vol. 14(4), pages 369-384, December.
    4. Chang, Shun-Chiao & Lin, Chi-Feng & Yeh, Ta-Chun & Chang, Chun-Wei, 2019. "Determinants of the performance of traditional Chinese medicine clinics in Taiwan," Health Policy, Elsevier, vol. 123(4), pages 379-387.
    5. Makoto Kakinaka & Ryuta Kato, 2013. "Regulated medical fee schedule of the Japanese health care system," International Journal of Health Economics and Management, Springer, vol. 13(3), pages 301-317, December.
    6. Isabelle Hirtzlin, 2006. "The Implementation and Pitfalls of Health Care Spending Targets in France," Working Papers hal-00942759, HAL.
    7. Isabelle Hirtzlin, 2006. "The Implementation and Pitfalls of Health Care Spending Targets in France," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-00942759, HAL.
    8. Joseph Squillace, 2009. "The Economics of Medicaid Dental Care: How Global Budget Methods Affect Reimbursement," Poverty & Public Policy, John Wiley & Sons, vol. 1(2), pages 1-20, July.
    9. Shunichi Fukuhara & Chikao Yamazaki & Yasuaki Hayashino & Takahiro Higashi & Margaret Eichleay & Takashi Akiba & Tadao Akizawa & Akira Saito & Friedrich Port & Kiyoshi Kurokawa, 2007. "The organization and financing of end-stage renal disease treatment in Japan," International Journal of Health Economics and Management, Springer, vol. 7(2), pages 217-231, September.
    10. Bradley Chen & Victoria Y. Fan, 2015. "Strategic Provider Behavior Under Global Budget Payment with Price Adjustment in Taiwan," Health Economics, John Wiley & Sons, Ltd., vol. 24(11), pages 1422-1436, November.
    11. Braden Manns & David Mendelssohn & Kenneth Taub, 2007. "The economics of end-stage renal disease care in Canada: incentives and impact on delivery of care," International Journal of Health Economics and Management, Springer, vol. 7(2), pages 149-169, September.
    12. Tricia Nicholson & Paul Roderick, 2007. "International Study of Health Care Organization and Financing of renal services in England and Wales," International Journal of Health Economics and Management, Springer, vol. 7(4), pages 283-299, December.
    13. Anne-Line Couillerot-Peyrondet & Cléa Sambuc & Yoël Sainsaulieu & Cécile Couchoud & Isabelle Bongiovanni-Delarozière, 2017. "A comprehensive approach to assess the costs of renal replacement therapy for end-stage renal disease in France: the importance of age, diabetes status, and clinical events," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 18(4), pages 459-469, May.
    14. Cleemput, Irina & De Laet, Chris, 2013. "Analysis of the costs of dialysis and the effects of an incentive mechanism for low-cost dialysis modalities," Health Policy, Elsevier, vol. 110(2), pages 172-179.
    15. Anthony Harris, 2007. "The organization and funding of the treatment of end-stage renal disease in Australia," International Journal of Health Economics and Management, Springer, vol. 7(2), pages 113-132, September.
    16. Bardey, David & Canta, Chiara & Lozachmeur, Jean-Marie, 2012. "The regulation of health care providers’ payments when horizontal and vertical differentiation matter," Journal of Health Economics, Elsevier, vol. 31(5), pages 691-704.
    17. Björn Wikström & Michael Fored & Margaret Eichleay & Stefan Jacobson, 2007. "The financing and organization of medical care for patients with end-stage renal disease in Sweden," International Journal of Health Economics and Management, Springer, vol. 7(4), pages 269-281, December.
    18. José Luño, 2007. "The organization and financing of end-stage renal disease in Spain," International Journal of Health Economics and Management, Springer, vol. 7(4), pages 253-267, December.
    19. Werner Kleophas & Helmut Reichel, 2007. "International study of health care organization and financing: development of renal replacement therapy in Germany," International Journal of Health Economics and Management, Springer, vol. 7(2), pages 185-200, September.
    20. Toni Ashton & Mark Marshall, 2007. "The organization and financing of dialysis and kidney transplantation services in New Zealand," International Journal of Health Economics and Management, Springer, vol. 7(4), pages 233-252, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:socmed:v:73:y:2011:i:1:p:153-159. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/315/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.