Competition and Disclosure Incentives: An Empirical Study of HMOs
AbstractI examine health maintenance organizations' (HMOs) voluntary disclosure of product quality, which is not as complete as unravelling theories predict. After controlling for cost and demand factors, I find that HMOs use voluntary disclosure to differentiate from competitors, with lower disclosure rates in highly competitive markets. These findings are consistent with product differentiation, but they challenge the intuition that competition should lead to more provision of quality information.
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Bibliographic InfoArticle provided by The RAND Corporation in its journal RAND Journal of Economics.
Volume (Year): 36 (2005)
Issue (Month): 1 (Spring)
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Find related papers by JEL classification:
- I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
- L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
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SFB 649 Discussion Papers
SFB649DP2013-040, Sonderforschungsbereich 649, Humboldt University, Berlin, Germany.
- Benndorf, Volker & Kübler, Dorothea & Normann, Hans-Theo, 2013. "Privacy concerns, voluntary disclosure of information, and unraveling: An experiment," Discussion Papers, Research Unit: Market Behavior SP II 2013-208, Social Science Research Center Berlin (WZB).
- Xiao, Mo, 2010. "Is quality accreditation effective? Evidence from the childcare market," International Journal of Industrial Organization, Elsevier, vol. 28(6), pages 708-721, November.
- Ting Liu & Monic Jiayin Sun, 2007. "Informal Payments in Developing Countries' Public Health Sectors¤," Boston University - Department of Economics - Working Papers Series WP2007-032, Boston University - Department of Economics.
- Jin, Ginger Zhe & Sorensen, Alan T., 2006. "Information and consumer choice: The value of publicized health plan ratings," Journal of Health Economics, Elsevier, vol. 25(2), pages 248-275, March.
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