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Hospital competition and prescribing behaviors:empirical evidence from Taiwan

Author

Listed:
  • Ya-Ming Liu
  • Yea-Huei Kao Yang
  • Huang-Tz Ou

    (National Cheng Kung University, Taiwan
    National Cheng Kung University, Taiwan)

Abstract

This study empirically examines the effect of hospital competition on prescribing behaviors of oral hypoglycemic agents (OHAs) for ambulatory care in a market setting where hospitals are classified into three levels according to the Taiwanese accreditation system. Without distinguishing the types of market structures and hospital levels, there might be no significant relationship between hospital competition and prescribing behavior. However, the relationship between competition and prescribing behaviors may differ among hospitals at various levels under each type of market structure. Our findings suggest that a market mechanism may improve the prescribing quality of regional and district hospitals under a market structure composed of three level hospitals where more medical resources and information are likely allocated.

Suggested Citation

  • Ya-Ming Liu & Yea-Huei Kao Yang & Huang-Tz Ou, 2010. "Hospital competition and prescribing behaviors:empirical evidence from Taiwan," Journal of Developing Areas, Tennessee State University, College of Business, vol. 43(2), pages 125-141, January-M.
    • Handle: RePEc:jda:journl:vol.43:year:2010:issue2:pp:125-141
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    Cited by:

    1. Liu, Ya-Ming & Cheng, Jur-Shan, 2012. "Determinants of generic entry in the regulated Taiwanese prescription drug market," Health Policy, Elsevier, vol. 108(2), pages 228-235.

    More about this item

    Keywords

    Hospital Competition; Prescribing Behavior;

    JEL classification:

    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets

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