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A New Institutional Economics Perspective on the Relationship Among Societal Values, Governance Structure and Access to Rural Health Care Services

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Author Info
James, Harvey

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Abstract

According to New Institutional Economics, transactional activities, governance structures, institutions and beliefs and values are related hierarchally. Williamson (2000) formalizes this framework to show that each governing level must be aligned with the adjacent level for transaction costs to be minimized. This framework is applied to the question of balancing costs and access in health care. Transaction costs in providing health care services can be minimized if all hierarchal functions are aligned. Examining the highest level associated with beliefs and values reveals that the beliefs of people might not be fully consistent with the institutions and governance structures expected or advocated in the area of health care, particularly in the context of rural health care services.

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Publisher Info
Paper provided by University of Missouri Columbia, Department of Agricultural Economics in its series Working Papers with number 7362.

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Date of creation: 2007
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Handle: RePEc:ags:umcowp:7362

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Related research
Keywords: rural health care; cost; access; efficiency; new institutional economics; rights; Health Economics and Policy; Institutional and Behavioral Economics;

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  3. Denzau, Arthur T & North, Douglass C, 1994. "Shared Mental Models: Ideologies and Institutions," Kyklos, Blackwell Publishing, vol. 47(1), pages 3-31.
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  4. W. Coles, Jerilyn & Hesterly, William S., 1998. "The impact of firm-specific assets and the interaction of uncertainty: an examination of make or buy decisions in public and private hospitals," Journal of Economic Behavior & Organization, Elsevier, vol. 36(3), pages 383-409, August. [Downloadable!] (restricted)
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