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Tarification des hôpitaux:la prise en compte des hétérogénéités

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  • Brigitte Dormont
  • Carine Milcent

Abstract

The purpose of this paper is to study hospital costs in the event of introduction of a Prospective Payment System in France. We use a nested three dimensional database (stays-hospitals-years) to identify hospital unobservable heterogeneity and a transitory moral hazard component of cost variability. Transitory moral hazard is about 50% of the standard error we estimate for cost variability due to permanent unobervable heterogeneity between hospitals. Simulations show that a cost reduction of about 16% can be expected from implementation of a payment system which allows for permanent unobserved heterogeneity and eliminates only transitory moral hazard.

Suggested Citation

  • Brigitte Dormont & Carine Milcent, 2004. "Tarification des hôpitaux:la prise en compte des hétérogénéités," Annals of Economics and Statistics, GENES, issue 74, pages 47-82.
  • Handle: RePEc:adr:anecst:y:2004:i:74:p:47-82
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    File URL: http://www.jstor.org/stable/20079081
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