TY - JOUR AU - Barro, Jason R AU - Cutler, David TI - Consolidation in the Medical Care Marketplace: A Case Study from Masschusetts JF - National Bureau of Economic Research Working Paper Series VL - No. 5957 PY - 1997 Y2 - March 1997 DO - 10.3386/w5957 UR - http://www.nber.org/papers/w5957 L1 - http://www.nber.org/papers/w5957.pdf N1 - Author contact info: Jason Barro 280 Beacon St . #54 Boston, MA 02116 Tel: 617/267-4139 Fax: 617/496-7167 E-Mail: jason.barro@post.harvard.edu David M. Cutler Department of Economics Harvard University 1875 Cambridge Street Cambridge, MA 02138 Tel: 617/496-5216 Fax: 617/496-8951 E-Mail: dcutler@harvard.edu M1 - published as Jason Barro, David M. Cutler. "Consolidation in the Medical Care Marketplace,A Case Study from Massachusetts," in Steven N. Kaplan, editor, "Mergers and Productivity" University of Chicago Press (2000) AB - This paper examines consolidation in the Massachusetts hospital market. We find that consolidation is driven primarily by a large decline in the demand for hospital beds, resulting from increased enrollment in managed care and technological changes. The drive to consolidate appears through three primary forces: consolidation for closure; consolidation for economies of scale; and consolidation for network creation. ER -