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How to reform western care payment systems according to physicians, policy makers, healthcare executives and researchers: A discrete choice experiment

Author

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  • KESSELS, Roselinde
  • VAN HERCK, Pieter
  • DANCET, Eline
  • ANNEMANS, Lieven
  • SERMEUS, Walter

Abstract

Background: Many developed countries are reforming healthcare payment systems in order to limit costs and improve clinical outcomes. Knowledge on how different groups of professional stakeholders trade off the merits and downsides of healthcare payment systems is limited. Methods: Using a discrete choice experiment we asked a sample of physicians, policy makers, healthcare executives and researchers from Canada, Europe, Oceania, and the United States to choose between profiles of hypothetical outcomes on eleven healthcare performance objectives which may arise from a healthcare payment system reform. We used a Bayesian D-optimal design with partial profiles, which enables studying a large number of attributes, i.e. the eleven performance objectives, in the experiment. Results: Our findings suggest that (a) moving from current payment systems to a value-based system is supported by physicians, despite an income trade-off, if effectiveness and long term cost containment improve. (b) Physicians would gain in terms of overall objective fulfillment in Eastern Europe and the US, but not in Canada, Oceania and Western Europe. Finally, (c) such payment reform more closely aligns the overall fulfillment of objectives between stakeholders such as physicians versus healthcare executives. Conclusions: Although the findings should be interpreted with caution due to the potential selection effects of participants, it seems that the value driven nature of newly proposed and/or introduced care payment reforms is more closely aligned with what stakeholders choose in some health systems, but not in others. Future studies, including the use of random samples, should examine the contextual factors that explain such differences in values and buy-in.

Suggested Citation

  • KESSELS, Roselinde & VAN HERCK, Pieter & DANCET, Eline & ANNEMANS, Lieven & SERMEUS, Walter, 2014. "How to reform western care payment systems according to physicians, policy makers, healthcare executives and researchers: A discrete choice experiment," Working Papers 2014022, University of Antwerp, Faculty of Business and Economics.
  • Handle: RePEc:ant:wpaper:2014022
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    References listed on IDEAS

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    1. Hugh Gravelle & Matt Sutton & Ada Ma, 2010. "Doctor Behaviour under a Pay for Performance Contract: Treating, Cheating and Case Finding?," Economic Journal, Royal Economic Society, vol. 120(542), pages 129-156, February.
    2. Roselinde Kessels & Peter Goos & Bradley Jones & Martina Vandebroek, 2011. "Rejoinder: the usefulness of Bayesian optimal designs for discrete choice experiments," Applied Stochastic Models in Business and Industry, John Wiley & Sons, vol. 27(3), pages 197-203, May.
    3. Daniel Kahneman & Amos Tversky, 2013. "Prospect Theory: An Analysis of Decision Under Risk," World Scientific Book Chapters, in: Leonard C MacLean & William T Ziemba (ed.), HANDBOOK OF THE FUNDAMENTALS OF FINANCIAL DECISION MAKING Part I, chapter 6, pages 99-127, World Scientific Publishing Co. Pte. Ltd..
    4. Kessels, Roselinde & Goos, Peter & Vandebroek, Martina, 2008. "Optimal designs for conjoint experiments," Computational Statistics & Data Analysis, Elsevier, vol. 52(5), pages 2369-2387, January.
    5. Green, Paul E, 1974. "On the Design of Choice Experiments Involving Multifactor Alternatives," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 1(2), pages 61-68, Se.
    6. Roselinde Kessels & Bradley Jones & Peter Goos & Martina Vandebroek, 2011. "The usefulness of Bayesian optimal designs for discrete choice experiments," Applied Stochastic Models in Business and Industry, John Wiley & Sons, vol. 27(3), pages 173-188, May.
    7. David Cutler, 2006. "The Economics of Health System Payment," De Economist, Springer, vol. 154(1), pages 1-18, March.
    8. repec:mpr:mprres:6602 is not listed on IDEAS
    9. Van Herck, Pieter & Kessels, Roselinde & Annemans, Lieven & Bellou, Abdelouahab & Wens, Johan & Sermeus, Walter, 2013. "Healthcare payment reforms across western countries on three continents: Lessons from stakeholder preferences when asked to rate the supportiveness for fulfilling patients’ needs," Health Policy, Elsevier, vol. 111(1), pages 14-23.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Healthcare payment systems; Healthcare performance objectives; Physician incentive structures; Health policy reform; Discrete choice experiment;
    All these keywords.

    JEL classification:

    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
    • C99 - Mathematical and Quantitative Methods - - Design of Experiments - - - Other
    • E61 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Policy Objectives; Policy Designs and Consistency; Policy Coordination
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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