||National Health Insurance has been implemented for more than twenty years, the structure of hospital industry has experienced a dramatic change, the hospitals’ scale gradually become larger. This study aims to investigate the effect of the enlargement of hospital industry to patients’ treatment outcome and medical expenditures. The treatments we choose for acute disease are Acute Myocardial Infarction, Hemorrhagic Stroke and Occlusion Stroke, Unilateral Inguinal Hernia surgery and Hemorrhoids surgery which are chronic disease. This study use the 1998-2007 data extracted from the National Health Insurance database, and 1996-2013 sampling data from the National Health Insurance database. We conduct the patients’ treatment outcome measured by 30-day mortality and evaluate expenditure during admission for patients’ medical expenditure. Moreover, we utilize the beds of hospital as the indicator of the enlargement of hospital industry. Using forgoing data, we investigate whether the enlargement of hospital industry makes better treatment outcome, and how it mirrors to medical expenditures. |
The empirical results show that the enlargement of hospital industry makes the patients’ treatment outcome of Acute Myocardial Infarction and Hemorrhagic Stroke become better. However, patients’ medical expenditures are increasing in all kinds of medical service we examined. Besides, the residual plots demonstrate that the enlargement of hospital industry is not the main reason leading to the change of patients’ treatment outcome and medical expenditures. The decreasing of mortality may be correlated to the advance in medical technology, whereas the rising of medical expenditures is derived from the NHI payment system.
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