Cancer Woundries: A Case Study

Decent Essays
Table 2 shows the diagnosis and procedure codes for selected cardiac and cancer surgeries. All cardiac and cancer surgeries were defined in a manner to maximize comparability among procedures as much as possible. In addition, all procedures were segregated by their severity and complexity. In some cases, cancer surgeries can be performed for patients whose primary diagnosis was not cancer. A colectomy is recommended for patients with severe diverticular colon diseases. Hence, this study excluded hospital admissions in which the primary diagnosis was not cancer surgeries.

Variable Definitions
The dependent variable of this study is transaction price of care. The transaction price refers to actual payments from insurers to providers, which
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Among hospital attributes from the AHA Annual Survey, this study controlled for hospital ownership, teaching status, and system/network affiliation. The AHA Annual Survey identifies four types of hospital ownership: 1) government, nonfederal; 2) nongovernment, not-for-profit; 3) investor-owned, for-profit; and 4) government, federal. This study defined hospital ownership types as private not-for-profit, private for-profit, and public hospitals. Teaching hospital was defined as an affiliated member hospital of the Council of Teaching Hospitals and Health Systems (COTH). As previously described, types of system affiliation are defined as centralized health physician insurance health system (CHPIHS), moderately centralized health system (MCHS), decentralized health system (DHS), and independent health system (IHS). The reference group of the health system/network variable is independent hospitals, which do not belong to any system or…show more content…
The vector Xit refers to the patient characteristics including age, sex, disease severity, comorbidity and health insurance plan type. Different sets of disease severity variables are adopted across procedures. Colectomy price equation includes partial laparoscopy, partial open surgery, and total open surgery (reference) variables. CABG price equation includes one vessel surgery (reference), two vessels surgery, three vessels surgery, and four or more vessels surgery. PCI price equation includes one stent surgery (reference), multiple stents surgery, one vessel surgery, multiple vessels surgery, thrombolytic infusion surgery. Three Elixhauser variables for the counts of comorbidities (1, 2, 3+) are included, with no comorbidity (0) constituting the reference category. Two plan types (POS and HMOs) are included; the reference category is all other fee-based plans. The vector Mjt refers to hospital j’s attributes, including private not-for-profit, private for-profit, teaching status, and system affiliation (CHPIHS, MSHS, DHS, IHS), and network affiliation. The reference categories for ownership, teaching status, and system affiliation are public hospitals, non-teaching hospitals, and independent hospitals. The vector Zht refers to local market conditions, including HMO penetration rate and the
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