Productivity of information technology in the face of regulation and organizational choices: Evidence from the healthcare industry
AuthorMenon, Nirup, 1967-
KeywordsBusiness Administration, Management.
Health Sciences, Health Care Management.
MetadataShow full item record
PublisherThe University of Arizona.
RightsCopyright © is held by the author. Digital access to this material is made possible by the University Libraries, University of Arizona. Further transmission, reproduction or presentation (such as public display or performance) of protected items is prohibited except with permission of the author.
AbstractThe dissertation is on the impact of information technology (IT) on the economy. Theoretical and empirical analyses are reported in order to explain the productivity "paradox" surrounding IT. The techniques used in the study cover a wide range from simple deterministic production functions to panel data techniques and data envelopment analysis. The empirical study is set in the health care industry. A hospital, which is the the unit of analysis, is an organizational entity that provides an appropriate context for the study of the interactions between information technology, technological advancements, organizational factors and regulation. Overall, it was found that IT contributes in a positive manner to the production of healthcare services. However, measurement problems including "quality" of IT capital due to technological developments can lead to the underestimation of IT productivity. It is also seen that regulation plays a major role in the manner in which costs are allocated to input factors. In particular, the effect of the Prospective Payment System (PPS) legislated in 1983 is investigated. One of the findings of the cost function analysis is that, since PPS, hospitals have been moving toward cost containment. Non-parametric analyses is used to determine the allocative inefficiency in IT with respect to other inputs. The different techniques serve as means to triangulate the measure of IT impact on productivity and efficiency, and in addition, develop the theory underlying production techniques.
Degree ProgramGraduate College