Evidence map›Paper›PMID 36913132›Full record

ArticleThe European journal of health economics : HEPAC : health economics in prevention and care2024

Nonprofit behavior altered by monetary donations: evidence from the U.S. hospice industry.

Miao Guo, Lei Guo, Yang Li

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Article in The European journal of health economics : HEPAC : health economics in prevention and care, 2024. The graph could read no effect estimate from its abstract, so it casts no vote on the map. Not yet cited in PubMed.

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1 · What the graph read from it

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4 · The record

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5 · Who and what money

Authors and funding

3 authors.

Miao GuoCollege of Finance and Statistics, Hunan University, Changsha, China.
Lei GuoSchool of Government, University of Chinese Academy of Social Science, Beijing, China.
Yang LiSchool of Economics, Faculty of Humanities and Social Sciences, The University of Nottingham Ningbo China, Room 310-2 IEB, 199 Taikang East Road, Ningbo, 315100, China. yang.li@nottingham.edu.cn.ORCID http://orcid.org/0000-0003-3416-7493

Funding

No grant is acknowledged in the PubMed record.

6 · The paper itself

Abstract

This study investigates whether reliance on monetary donations alters nonprofit firms' behaviors. Specifically, in the hospice industry, a shorter patients' length of stay (LOS) speeds up overall patient turnover, allowing a hospice to serve more patients and expand its donation network. We measure hospices' donation reliance using the donation-revenue ratio, which indicates the importance of donations for revenue structure. By exploiting the supply shifter of donation, we adopt the number of donors as an instrument to control for the potential endogeneity issue. Our result suggests that a one-percentage-point increase in the donation-revenue ratio decreases patient LOS by 8%. Hospices that are more reliant on donations serve patients diagnosed with diseases that have shorter life expectancies to achieve a lower average LOS of all patients' stay. Overall, we find that monetary donations alter the behavior of nonprofit organizations.

Indexed as

HospicesHumansLength of StayOrganizations, NonprofitTissue DonorsFinancial incentiveHospiceLength of stayMonetary donationNonprofit

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Read under generation 80e0d062 · epoch 390. Bibliography from PubMed, PubMed Central and OpenAlex; grants from NIH RePORTER; trial links from ClinicalTrials.gov; estimates, votes and beliefs from the OpenQuestion graph.