This study takes a statistical-modeling point of view to the assessmen
t of health care services and procedures. The emphasis is on small-are
a prediction of incidence rates from spatially contiguous regions, alt
hough suitable modifications can also give doctor-level predictions. T
he main idea is to recognize the individuality of each region through
a spatial Bayesian model for incidence rates. A noise component, becau
se of location error and measurement error, is filtered out using empi
rical Bayes methods. The resulting smoothed predictors of incidence ra
tes provide an accurate picture of the health care service or procedur
e under investigation.