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Economic Issues in the Antitrust Assessment of Hospital Competition: Overview

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  • Monica Noether

Abstract

Rapid consolidation in the hospital industry, as health care markets respond to consumer pressures for more cost-effective delivery of health care services, has focused increased attention on antitrust enforcement theories and actions. This paper reviews the Federal agency challenges of four recent hospital mergers that have all been denied by the courts, but for varying reasons. Questions raised include the appropriate definition of the product and geographic markets, the extent of realizable merger-specific efficiencies and the influence of non-profit status on hospital behavior. The lack of conclusive empirical economic evidence on these topics undoubtedly contributes to the current divergence of opinion among regulators, courts and hospitals. This paper also identifies how each of the subsequent papers in this special issue contributes valuable findings to inform the lively debate.

Suggested Citation

  • Monica Noether, 1998. "Economic Issues in the Antitrust Assessment of Hospital Competition: Overview," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 5(2), pages 133-140.
    • Handle: RePEc:taf:ijecbs:v:5:y:1998:i:2:p:133-140
    DOI: 10.1080/13571519884477
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