Hospital Mergers and Health Reform: Decreased Competition Versus Community Benefit

Do hospital mergers threaten competition by limiting hospital choice or enhance competition by creating greater efficiencies in the system? This project was a descriptive analysis of the impact of hospital mergers on the market in California. Ultimately, the researchers hoped to increase understanding of the impact of hospital consolidations and provide a foundation for developing a more explanatory multivariate model. The results of this research will help policymakers understand the context in which merger decisions are made and the effects of those mergers in markets with differing characteristics, on operations, finances, and the communities served.