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American Economic Review Vol. 103 No. 1 2013

The Impact of Medical Liability Standards on Regional Variations in Physician Behavior: Evidence from the Adoption of National-Standard Rules

Michael Frakes

Cornell Law School, 314 Myron Taylor Hall, Ithaca, NY 14853.

open access

Abstract

I explore the association between regional variations in physician behavior and the geographical scope of malpractice standards of care. I estimate a 30–50 percent reduction in the gap between state and national utilization rates of various treatments and diagnostic procedures following the adoption of a rule requiring physicians to follow national, as opposed to local, standards. These findings suggest that standardization in malpractice law may lead to greater standardization in practices and, more generally, that physicians may indeed adhere to specific liability standards. In connection with the estimated convergence in practices, I observe no associated changes in patient health.

DOI
10.1257/aer.103.1.257
Volume
103
Issue
1
Pages
257-276
Language
en
Sources
openalex bibtex:phds-export.bib crossref

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