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Impacts of Certificate-of-need State Laws on Substance Abuse Treatment Facilities and Services

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  • Shishir Shakya
  • Christine Bretschneider Fries

Abstract

We investigate how the Certificate-of-need laws influence access to substance abuse treatment facilities in the United States. First, we use the National Directory of Drug and Alcohol Abuse Treatment Facilities dataset, which lists all federal, state, and local government facilities and private facilities that provide substance abuse treatment services in 2020. We also use Geocodio, a geocoding tool, to determine the precise locations of these facilities. Next, we develop a novel access index that accounts for both driving distance and travel time to measure the ease of reaching these facilities for individuals living at the population-weighted county centroids. Our findings indicate that counties located in states with Certificate-of-need laws have 10% lower access to substance abuse treatment services compared to their neighboring counties in states without such regulations. Key Words: Certificate-of-need laws, Substance abuse treatment services, Spatial accessibility

Suggested Citation

  • Shishir Shakya & Christine Bretschneider Fries, 2023. "Impacts of Certificate-of-need State Laws on Substance Abuse Treatment Facilities and Services," Working Papers 23-08, Department of Economics, Appalachian State University.
    • Handle: RePEc:apl:wpaper:23-08
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    File URL: http://econ.appstate.edu/RePEc/pdf/wp2308.pdf
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    References listed on IDEAS

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    1. Swensen, Isaac D., 2015. "Substance-abuse treatment and mortality," Journal of Public Economics, Elsevier, vol. 122(C), pages 13-30.
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    4. Stratmann, Thomas & Koopman, Chris, 2016. "Entry Regulation and Rural Health Care: Certificate-of-Need Laws, Ambulatory Surgical Centers, and Community Hospitals," Working Papers 06893, George Mason University, Mercatus Center.
    5. Corredor-Waldron, Adriana & Currie, Janet, 2022. "“Tackling the Substance Use Disorder Crisis: The Role of Access to Treatment Facilities”," Journal of Health Economics, Elsevier, vol. 81(C).
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    7. Baker, Matthew C. & Stratmann, Thomas, 2021. "Barriers to entry in the healthcare markets: Winners and Losers from certificate-of-need laws," Socio-Economic Planning Sciences, Elsevier, vol. 77(C).
    8. Chiu, Kevin, 2021. "The impact of certificate of need laws on heart attack mortality: Evidence from county borders," Journal of Health Economics, Elsevier, vol. 79(C).
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    Keywords

    certificate-of-need laws; substance abuse treatment services; spatial accessibility;
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