hmgt 400 exercise 4

Alesix Tieku

Dr. Hossein Zare

HMGT 400 (7980)

Exercise 2

March 27, 2019

Week 2, Exercise:

Use the dataset from week1 exercise and then answer the following questions:

1) Compare the following information between teaching and non-teaching hospitals.

2) What are the main significant differences between teaching and non-teaching hospitals? (use ttest)

3) Comparing hospital net-benefit which hospitals has better performance? To answer this question first compute the hospital net benefits with subtracting hospital costs and revenues and then use ttest to compare the significant differences between teaching and non-teaching hospitals.

4) Use a box-plot and compare hospitals-cost and hospital-revenues between teaching and non-teaching hospitals.

The costs were higher for teaching hospitals (1) compared to non-teaching hospitals (0)

The Revenues were higher for teaching hospitals (1) compared to non-teaching hospitals (0)

5) Write a short paragraph and describe your findings.

Based on the t-.test results shown below, there were no significant differences between teaching and non-teaching hospitals for all the variables. This is because as shown below, the p.value is less than 0.05 hence at 95% confidence Interval, we do not reject the null hypothesis (There is no significant difference in the means).

For the hospital net benefit, the p. value is also less than 0.05 hence at 95% confidence interval, the null hypothesis is not rejected, hence there is no significant difference between teaching and non-teaching hospitals in terms of performance.

Table 2. Descriptive statistics between teaching and non-teaching hospitals, 2011 & 2012

Variables	Teaching	Non-Teaching	p-value
	N	Mean	St. Dev	N	Mean	St. Dev
Hospital Characteristics	936	5.554487	1.743811	2094	3.637058	1.733039	< 2.2e-16
Hospital beds	936	549.0256	605.0675	2094	299.6791	536.7652	< 2.2e-16
Number of paid Employee	929	2475.563	2550.745	2084	869.8128	1001.237	< 2.2e-16
Number of non-paid Employee	30	57.08453	101.8859	30	27.65823	32.58495	6.653e-05
Internes and Residents	617	124.8958	179.446	308	41.52964	96.46728	< 2.2e-16
System Membership	936	0.6698718	0.4705105	2094	.5773639	0.4940966	< 2.2e-16
Total hospital cost	936	392976714	424408629	2094	136608825	169943309	< 2.2e-16
Total hospital revenues	936	417498875	457483256	2094	145244082	184064399	< 2.2e-16
Hospital net benefit	936	24522169	52182871	2094	8635291	30582257	< 2.2e-16
Available Medicare days	929	28825.6	24287.36	2086	11626.08	13979.94	< 2.2e-16
Available Medicaid days	929	10372.87	13102.66	2056	3057.124	5538.334	< 2.2e-16
Total Hospital Discharge	929	16649.56	13564.48	2088	6345.484	7654.591	< 2.2e-16
Medicare discharge	929	5571.574	4247.162	2086	2455.252	2773.352	< 2.2e-16
Medicaid discharge	929	2011.146	2310.712	2050	723.5776	1227.923	< 2.2e-16

(Note: Master RStudio script is available for this exercise, but you need to modify that for this analysis)

01

0e+00

1e+09

2e+09

3e+09

Figure 1. Boxplot of Hospital Costs for teaching & Non-teaching hospitals

Teaching/Non-Teaching

Hospital Costs

01

0e+00

1e+09

2e+09

3e+09

4e+09

Figure 1. Boxplot of Hospital Revenues for teaching & Non-teaching hospitals

Teaching/Non-Teaching

Hospital Revenue