Exercise #2:
Using the dataset from week 1 exercise, answer the following questions.
Compare the following information between teaching and non-teaching hospitals using a t-test:
What are the main significant differences between teaching and non-teaching hospitals? (use t-test)
Comparing hospital net-benefit, which hospitals had better performance? (To answer this question, first compute the hospital net benefits by subtracting hospital costs from revenues, then use a t-test to compare the significant differences between teaching and non-teaching hospitals).
Use a box-plot to compare hospital-cost and hospital-revenues between teaching and non-teaching hospitals. Make sure to attach the plotted information.
Write a short paragraph describing your findings highlighting their importance for managerial decision-making. List a specific managerial function and the way the processed data can be used to meet the managerial objectives.
Table 2. Descriptive statistics between teaching and non-teaching hospitals, 2011 & 2012
Hospital Characteristics Teaching Non-Teaching p-value
N Mean St. Dev N Mean St. Dev
- Hospital Beds
- Number of paid Employees
- Number of non-paid Employees
- Interns and Residents
- System Membership
- Total Hospital Cost ($)
- Total Hospital Revenues ($)
- Hospital Net Benefit ($)
- Available Medicare Days
- Available Medicaid Days
- Total Hospital Discharges
- Total Medicare Discharges
- Total Medicaid Discharges
Round mean and st.dev figures to nearest whole number. Use 2 decimal places for p values.
