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HMGT400 UMGC Health and Medical Questions

June 8, 2023

Exercise #5

For this week exercise, we need to try a few logit models (see this link for more information: LOGIT REGRESSION)

If you have chosen to work with Excel, please run above three models and complete the following tables.

Model 1: Run a regression model and use being a member of network and find out its impact on hospital cost? (Model 1) Model 2: For the 2^nd model run a regression model and use being a member of network and find out its impact on hospital cost and hospital revenue? (Model 2) Model 3: For the 3^rd model run a regression model and use being a member of network and find out its impact on ratio-Medicare-discharge and ratio-Medicaid-discharge.

Based on your finding please recommend 3 policies and discuss the impact of being on a network on hospital cost, hospital revenue and out its impact on ratio-Medicare-discharge and ratio-Medicaid-discharge. Do you recommend keeping membership for a hospital? Why or why not?

If you have decided to use RStudio:

Model 1

Run a logit model and use being a member of network and find out its impact on hospital ownership and hospital beds? (Model 1)

Model 2

Now, include hospital income and report the Coeff.? (Model 2)

Model 3

Now, include the ratio of ratio-Medicare-discharge and ratio-Medicaid-discharge in your model? And keep all variables you used for models 1, 2 & 3 and discuss your findings? Do you recommend keeping membership for a hospital? Why or why not? (Model 3)

Based on your finding please recommend 3 policies to improve hospital performance in FP, NFP hospitals, please make sure to use the final model for your recommendation.

Download data: The data is the same data you have used for previous exercises

Codes: E5-codes

Questions: All exercises questions

Expert Solution Preview

Introduction: In this exercise, regression models are explored to determine the impact of being a member of a network on hospital cost, hospital revenue, and ratio-Medicare-discharge and ratio-Medicaid-discharge. Additionally, policies to improve hospital performance in FP and NFP hospitals are recommended based on the findings.

Answer:

For Model 1, a regression model is run to determine the impact of being a member of a network on hospital cost.

For Model 2, a regression model is run to determine the impact of being a member of a network on hospital cost and hospital revenue.

For Model 3, a regression model is run to determine the impact of being a member of a network on ratio-Medicare-discharge and ratio-Medicaid-discharge.

Based on the findings, recommendations are made for policies to improve hospital performance in FP and NFP hospitals. It is important to keep membership in a hospital network in certain circumstances, and the final model is used to inform these recommendations.

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