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My research interests generally lie in Applied Microeconomics and specifically Health Economics, Public Policy, Industrial Organization and Labor Economics.

 

Job Market Paper:

“A Structural Model of Obstetrician Location and Treatment Decisions” (pdf here)

 

Dissertation Abstract:

This paper develops and estimates a joint model of an obstetrician’s choices of practice location,

and treatments by cesarean section or vaginal birth. The model specifically incorporates the

impacts of medical malpractice risk, expected health outcomes of patients, and earned income

from procedures on obstetricians’ decisions. Liability risk may affect an obstetrician’s location

choice and may cause unnecessary medical services to be supplied in an effort to reduce that

liability risk, an action referred to as “defensive medicine.” Outside of the obstetrician’s

incentive to insulate against this risk, there may be a profit motive for the obstetrician to induce

demand for a particular method of delivery. The information asymmetry between obstetrician

and patient can be exploited to provide the obstetrician with higher income or to protect against a

potential lawsuit. Nonstructural results suggest that this is in fact a serious and potentially

harmful concern. Specifically, I predict that, on average, the marginal effect of performing a

cesarean decreases the probability of facing a lawsuit by 35% but increases the probability of a

poor health outcome by 23%.  Malpractice liability risk is measured by explicitly modeling the

market for liability insurance using data on damages from the National Practitioner Data Bank

(NPDB), insurance premiums from the Medical Liability Monitor (MLM), and legal expenses

from the Physician Insurers Association of America (PIAA). Combining these data with the

National Center for Healthcare Statistics’ Birth Cohort Linked Birth/Infant Death Data from

1999 and obstetrician counts from the American Medical Association, a model of obstetrician

choice is estimated and structural parameters of the obstetrician’s utility function recovered.

Estimation of this model illuminates how obstetricians choose locations based on the values of

these parameters and allows comparisons of the endogenous distributions of these parameters

across areas. Differences in the underlying parameters of obstetricians may help explain why

treatment styles vary dramatically across areas. The recovery of these preference parameters

enables me to simulate the effects of potential policy changes, such as changes to financial

reimbursement schemes or certain tort reforms, on obstetrician behavior.

 

 

I have previously conducted research on the effects of the supply of health professionals on county level suicide rates as well as some repair/replace decisions for the Virginia Transportation Research Council




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