Abstract
1 Research for this paper was supported by Grant Number HS-00028 from the National Center for Health Services Research and Development. Support of the Tennessee Mid-South Regional Medical Program also facilitated the research, Comments by Anthony Obserschall on an earlier version of this paper are appreciated. as is the computer assistance of Thomas James. Results of a study of small short-stay profit and nonprofit hospitals show significant differences in organizational relationships. The proportionate number of management and support personnel is negatively associated with the occupancy rate and the proportionate number of production personnel is more positively associated with occupancy rate in profit hospitals but not in nonprofit hospitals. Average daily charges are associated with community wealth for profit hospitals, but not for nonprofit hospitals. It is suggested that the profitmaking orientation of hospitals is a significant contextual property which influences the relationships of hospital structure and community wealth to hospital efficiency and effectiveness.'
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