TITLE

The Smart-Seller Challenge: Exploring the Determinants of Privatizing Public Nursing Homes

AUTHOR(S)
Amirkhanyan, Anna A.
PUB. DATE
July 2007
SOURCE
Journal of Public Administration Research & Theory;Jul2007, Vol. 17 Issue 3, p501
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
This study investigates the determinants of local governments' decisions to privatize public nursing homes. According to the Online Survey, Certification, and Reporting (OSCAR) 2004 data, more than 100 counties in the United States have recently divested their nursing facilities through change of ownership to nonprofit or for profit or through termination. The theoretical model used in this study proposes four broad categories of antecedents of the privatization decision: market failure, government failure, and monetary and institutional factors. County governments are viewed as rational actors, affected by a range of external and internal pressures and striving to maximize the attainment of their complex missions. The data used in this study come from the OSCAR 2004 file and several other sources. Using logistic regression analysis, the baseline (1998-2000) measures of all independent variables for 622 county-owned homes were regressed on the dummy dependent variable, indicating whether the nursing home was privatized by 2003 or not. Quantitative analysis was supplemented with two exploratory case studies. Local market competition, occupancy level, condition of the physical plant, staffing, the prevalence of privatization in the neighboring counties, and the proportion of elderly in the county were found to be significantly associated with the likelihood of nursing home divestment. The analysis supports the idea of a complex framework of managerial decision making: counties appear to be smart sellers by divesting when occupancy declines, when the physical environment deteriorates, and when private markets are relatively more competitive. They are also found to be smart owners by sustaining public ownership of thriving public facilities surrounded by failing private markets.
ACCESSION #
25611997

 

Related Articles

  • Outsourcing Patriotism: Privatization Goes To War. Kennedy, Sheila Suess; Jensen, Laura S. // PA Times;Sep2004, Vol. 27 Issue 9, p8 

    Discusses the implication of outsourcing patriotism for the U.S. government. Benefits of public-private partnership for the private sector; Disadvantages of privatization; Issues to be considered in adopting third-party government.

  • Rational Exuberance: The Stock Market and Public Support for Social Security Privatization. Barabas, Jason // Journal of Politics;Feb2006, Vol. 68 Issue 1, p50 

    Some pundits argue that public support for Social Security privatization is unaffected by stock market downturns. Others worry that majorities might flip with each major market swing. Cross-sectional and longitudinal analyses support a third perspective, consistent with theories of a rational...

  • Powerless in Georgia. Almond, Mark // New Statesman;8/25/2003, Vol. 132 Issue 4652, p14 

    Comments on the political aspects of privatization and military spending in the United States. Focus on privatization in the former communist country, Republic of Georgia; Failure of the energy company, AES Corporation, because of economic policies that reduce demand for electricity; View that...

  • We vs. They: Are All HR Functions "In-house" Equally Privatized to the "Out-house"? Johnson, Kevin T.; Seebode, Thomas F. // PA Times;Nov2006, Vol. 29 Issue 11, p3 

    The article presents information on the privatization of the U.S. government agencies. Several fundamental human resource services of the United States Transport Security Administration, including recruitment, and, assessment, have been successfully privatized. Author Wendell C. Lawther thinks...

  • Private bills. McCormack, Kelly // Hill;5/9/2007, Vol. 14 Issue 54, p24 

    The article provides information on the processing of private claims bills in the U.S. The author explains that the bills offer relief to people with no other recourse in seeking permanent residency in the country. The bill is introduced by a legislator and will be referred to the House...

  • Mark of Trouble. Grunwald, Michael // Time;10/15/2007, Vol. 170 Issue 16, p17 

    The article discusses the use by the United States government of private security contractors in Iraq. At issue was the 2007 testimony before Congress by Erik Prince, founder and chief executive officer of Blackwater USA, a security organization that stood accused of indiscriminate killings of...

  • What is the Democrats' secret number? Miller, Matt // Fortune International (Europe);3/7/2005, Vol. 151 Issue 4, p37 

    Comments on how Democrats should frame the Social Security debate as part of a generational budget challenge. Discussion of Congressional Democrats' strategy for opposing U.S. President George W. Bush's plan for privatizing the social security system; The question of how to make Medicare and...

  • What is the Democrats' secret number? Miller, Matt // Fortune;3/7/2005, Vol. 151 Issue 5, p56 

    Comments on how Democrats should frame the Social Security debate as part of a generational budget challenge. Discussion of Congressional Democrats' strategy for opposing U.S. President George W. Bush's plan for privatizing the social security system; The question of how to make Medicare and...

  • The Aftermath of Katrina: Recommendations for Real Estate Research. Kilpatrick, John A.; Dermisi, Sofia // Journal of Real Estate Literature;2007, Vol. 15 Issue 2, p213 

    This paper provides an overview of government and independent research conducted in the wake of Hurricane Katrina in an effort to highlight additional areas in need of study. In addition to the overview of natural disasters and their impact on the United States, the aftermath of the San...

Share

Read the Article

Courtesy of VIRGINIA BEACH PUBLIC LIBRARY AND SYSTEM

Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics