MANAGED CARE AND PHYSICIAN HOSPITAL INTEGRATION/

This paper examines the extent to which hospitals and physicians use n ew organizational structures designed to facilitate contracting with m anaged care firms and the extent to which this use is associated with managed care revenue. The data come from a nationally representative s ample of 1,495 U.S. community hospitals responding to a 1993 survey ab out different organizational structures. The results indicate that onl y 23.3 percent of hospitals participate in at least one form. Hospital s with more than 15 percent of revenues from managed care are twice as likely to participate and favor forms that provide tighter linkages w ith physicians.