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New perspectives in the design of pharmaceutical copayments

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Abstract

In this paper we propose a new approach for the design of pharmaceutical copayments. We departure from the standard efficiency argument that advocates for copayments that are decreasing in the health benefits of the patients in order to discipline consumption. Under our approach, copayments are justified by the difficulties for the provider to fully fund their health services.

Suggested Citation

  • Paula González & Nicolás Porteiro, 2009. "New perspectives in the design of pharmaceutical copayments," Economic Working Papers at Centro de Estudios Andaluces E2009/07, Centro de Estudios Andaluces.
  • Handle: RePEc:cea:doctra:e2009_07
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    File URL: http://www.centrodeestudiosandaluces.info/PDFS/E200907.pdf
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    1. Chun, Youngsub, 1988. "The equal-loss principle for bargaining problems," Economics Letters, Elsevier, vol. 26(2), pages 103-106.
    2. Newhouse, Joseph P., 2006. "Reconsidering the moral hazard-risk avoidance tradeoff," Journal of Health Economics, Elsevier, vol. 25(5), pages 1005-1014, September.
    3. Clark, Derek, 1995. "Priority setting in health care: An axiomatic bargaining approach," Journal of Health Economics, Elsevier, vol. 14(3), pages 345-360, August.
    4. Xavier Cuadras-Morató & José-Luis Pinto-Prades & José-María Abellán-Perpiñán, 2001. "Equity considerations in health care: the relevance of claims," Health Economics, John Wiley & Sons, Ltd., vol. 10(3), pages 187-205.
    5. Pauly, Mark V. & Blavin, Fredric E., 2008. "Moral hazard in insurance, value-based cost sharing, and the benefits of blissful ignorance," Journal of Health Economics, Elsevier, vol. 27(6), pages 1407-1417, December.
    6. Chun, Youngsub & Thomson, William, 1992. "Bargaining problems with claims," Mathematical Social Sciences, Elsevier, vol. 24(1), pages 19-33, August.
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    Keywords

    pharmaceutical copayments; equity; axiomatic bargaining; claims;

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