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- W2040780221 abstract "In this paper, we study the effects of tax-exempt debt on the supply of charity care of non-profit hospitals. We hypothesize that hospitals using tax-exempt rather than taxable debt are forced to provide higher levels of charity care as a condition for gaining access to the tax-exempt market. The study uses a panel of 189 California non-profit hospitals. Hospital uncompensated care is regressed on the level of uncompensated care by other hospitals in the market, lagged values of tax-exempt and taxable debt and other control variables.The magnitude of the tax-exempt bond subsidy has a positive effect on the flow of charity care and varies positively with the charity care provided by other hospitals. We conclude that subsidies provided by tax-exempt debt are an effective media to increase the supply of charity care by hospitals. Regulators can use competition between non-profit hospitals in order to enforce the desired behavior." @default.
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- W2040780221 date "2000-02-01" @default.
- W2040780221 modified "2023-10-14" @default.
- W2040780221 title "Charity Care by Non-profit Hospitals: The Price of Tax-exempt Debt" @default.
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- W2040780221 doi "https://doi.org/10.1080/13571510084050" @default.
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