By exploiting a unique health insurance benefit design, we provide novel evidence on the causal association between outpatient and inpatient care. Our results indicate that greater outpatient spending was associated with more hospital admissions: a $100 increase in outpatient spending was...

We obtain estimates of associations between statin use and health behaviors. Statin use is associated with a small increase in BMI and moderate (20–33%) increases in the probability of being obese. Statin use was also associated with a significant (e.g., 15% of mean) increase in moderate...

There is widespread concern about the quality of health care in the US, and the effect of provider payments on the quality of care is an important and unsettled issue in this debate. The critical question is whether changes in provider payments affect health. To date there is relatively little...