An analysis of trends in average length of stay in Maryland Hospitals, 1980-1988

Abstract

Nationally, the introduction of the Medicare Prospective Payment System (PPS) in 1983 caused a substantial change in average length of stay (ALOS) trends in hospitals. This resulted from an average decline in DRG-specific length of stay, partially offset by an increase in the relative contributions of DRGs with longer length of stay. The study finds that the interaction of these two opposing forces was present in Maryland as well as in the United States during the early and mid-1980's although Maryland was not under PPS. The analysis also indicates that these post-PPS ALOS trends tapered off gradually during 1985-1988, although the trends still continued to show the same pattern of movement.