The Medicaid Expansion and its Effects on Hospital Revenue Open Access

Abstract

This paper investigates the effect of the ACA’s voluntary Medicaid Expansion policy on hospital revenue streams. In 2010, The Patient Protection and Affordable Care Act was signed into law. However, the court determined that it was unconstitutional to force states to participate in the Medicaid Expansion, allowing states to opt out of the policy. In 2014, the Medicaid Expansion took effect. By the end of 2016, 31 states had accepted the expansion. With significant research studying specific revenue streams for hospitals, this study aims to determine whether overall hospital revenues have increased in expansion states compared to non-expansion states. The findings of this study show that expansion appears to have a negative impact on the overall revenues of hospitals in expansion states, relative to their non-expansion state counterparts.

 

Table of Contents

Table of Contents

 

      I.         Introduction………………………………......……………………………1

 

    II.         Policy Background ……..……………………………………….………...5

 

  III.         Related Literature..…………………………………………………..…...10

 

 IV.         Data……………………………………………………………...…….....12

 

   V.         Effects of the Medicaid Expansion………………………………………16

 

 VI.         Robustness and Sensitivity Tests………………………………………...20

 

VII.         Discussion………………………………………………………………..26

 

VIII.      Conclusion…………………………………………………………….….31

 

 IX.         References………………………………………………………………..33

About this Honors Thesis

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School	Emory College
Department	Economics
Degree	B.A.
Submission	Honors Thesis
Language	English
Research Field	Health Sciences, Health Care Management Economics, General
Keyword	health legislation healthcare reform DSH Payments payer mix Medicaid healthcare health economics expansion state health policy Mandate Obamacare economics hospital revenue Patient Protection and Affordable Care Act non-expansion American Healthcare Act health insurance disproportionate share hospital payments Obama Affordable Care Act Medicaid Expansion healthcare policy American healthcare system US healthcare system net revenue unreimbursed care costs uncompensated care costs ACA
Committee Chair / Thesis Advisor	McCarthy, Ian , Emory University
Committee Members	Soria, Jose, Emory University Markowitz, Sara, Emory University

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