GPs’ Payment Contracts and their Referral Policy
AbstractThe aim of this paper is to compare the role of general practitioners in determining access to specialised and hospitalised health care in two different types of health care systems: Systems where a GP referral is compulsory for specialist/hospitalised attention and systems where this referral is only facultative. We model the dependence between the GPs’ diagnosis effort and referral practice, and concentrate on the optimal contracts that induce the best behaviour from the public insurers’ point of view with asymmetric information on both GP's diagnosis effort and diagnosis outcome. We show that the compulsory referral system is superior wherever the GP's incentives matter.
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Bibliographic InfoPaper provided by IDEGA - Instituto Universitario de Estudios e Desenvolvemento de Galicia in its series Documentos de trabajo - Analise Economica with number 0010.
Length: 32 pages
Date of creation: Feb 2000
Date of revision:
Publication status: Published in Journal of Health Economics, July 2003, pages 617-635
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More information through EDIRC
health economics; referral; contracts; moral hazard.;
Find related papers by JEL classification:
- D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
- I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
- L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Izabela Jelovac, 2001. "Physicians' payment contracts, treatment decisions and diagnosis accuracy," Health Economics, John Wiley & Sons, Ltd., vol. 10(1), pages 9-25.
- Martin Gaynor, 1995.
"Issues in the Industrial Organization of the Market for Physician Services,"
NBER Working Papers
4695, National Bureau of Economic Research, Inc.
- Gaynor, Martin, 1994. "Issues in the Industrial Organization of the Market for Physician Services," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 3(1), pages 211-55, Spring.
- Porteiro, Nicolas, 2005. "Regulation of specialized medical care with public and private provision," European Journal of Political Economy, Elsevier, vol. 21(1), pages 221-246, March.
- Brasseur, Carine, 2001. "Competition between General Practitioners and Specialists in the Primary Health Care Market," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2001004, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
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