Managerial turnover in primary care clinics

Abstract

We investigate the relationship between primary care clinic performance and managerial turnover. Results show that profit in a year is a strong indicator of whether the administrator will keep their job in the next year, although the clinics are certified as non-profits. The effect is asymmetric. Positive profits contribute more to an administrator's chance of keeping their job than negative profits reduce it. In an extension analysis, we provide evidence that suggests new clinic managers improve their community's health by increasing access to their clinics and improving the quality of healthcare provision.