Related Experiment Video
Updated: Sep 29, 2026

Inverse Probability of Treatment Weighting (Propensity Score) using the Military Health System Data Repository and National Death Index
Published on: January 8, 2020
The Relationship Between Physician Organization and Health Care Use in Traditional Medicare and Medicare Advantage
Laurence Baker1, M Kate Bundorf2, Daniel P Kessler1
1Stanford University and NBER, CA, USA.
Abstract:
Publicly funded insurance programs increasingly rely on private health plans to manage care, and physicians have organized into larger groups, many of which are owned by hospitals or health care systems. We examine the relationship between physician organization and health care resource use and whether this relationship differs between traditional Medicare and Medicare Advantage. We find that physician group practice is associated with less use of hospital inpatient and outpatient services, but that this relationship is attenuated for patients enrolled in Medicare Advantage. We also find that hospital ownership of physician practices is associated with greater use of hospital outpatient services, and that this relationship is not attenuated by Medicare Advantage. We conclude that, while Medicare Advantage and physician groups can serve as substitutes in care management, Medicare Advantage has had less success in controlling the shift toward hospital outpatient utilization. We also discuss the implications for health care market structure research.
Related Concept Videos
Methods of Documentation VI: Case Management Model
For example, a patient with a chronic illness...
Health Information Technology and Healthcare Information System
Health Information Technology, commonly called HIT, integrates advanced information systems and technology in healthcare settings. Its primary functions include:
Methods Of Healthcare Delivery System
Managed Care System:
The managed care system is designed to control the cost while maintaining the quality of care. The patient's care from admission to discharge is planned by the primary care provider or the case manager, also known as the gatekeeper. In a managed care system, the number of care providers is limited...
Introduction To Health Care Delivery System
The Institute of Medicine (IOM) advocates for a patient-centered, effective, safe, timely, equitable, and effective healthcare system. The National Priorities...
Issues And Trends In Healthcare Delivery System
Cost Containment
Payment for healthcare services has historically promoted adoption of costly and often unnecessary or inefficient...
Traditional Level Of Health Care System
The preventive healthcare service includes tests for screening. Preventive health care services include identifying and reducing disease risk...