Transportation, healthcare seeking, and outcomes

Advancements in engineering and transportation technology have integrated commuting into modern living. Most studies on transportation infrastructure, such as roads and railways, focus on economic outcomes. This paper examines an overlooked outcome of transportation connectivity: access to medical care. We study the role transportation networks play in determining patients’ treatment location choices. Specifically, we aim to study 1) why patients travel to begin with, 2) how do patients choose where to go for treatment, and 3) how travel times can affect patients’ travel decisions. To do so, we develop a dynamic discrete choice, spatial model and provide empirical estimates. We find that, firstly, tertiary hospitals are associated with improved outcomes in the form of reduced 30-day in-hospital mortality and readmission rates. Secondly, we estimate a gravity equation via OLS and IV and find that the distance elasticity of healthcare seeking is considerably large at -2.3.