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Hospital's activity-based financing system and manager: physician interaction

Author

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  • CRAINICH, David
  • LELEU, Hervé
  • MAULEON, Ana

Abstract

Hospital financing systems determine ma jor decisions made by physicians and managers within hospitals. This paper examines the impact of the transition toward an activity-based reimburse- ment system that has emerged in most OCDE countries. We consider two initial situations, one for a private for-profit sector where both hospitals and physicians are paid on a fee-for-service basis and the other for a public sector under prospective budget and salaried physicians. For the private sector, our model focuses on the type of interaction (simultaneous, sequential or joint decision-making games) that should emerge between agents after the introduction of the activity-based financing system. In the public sector, the elasticity of the demand to the level of inputs seems to play a more crucial role in the transition.
(This abstract was borrowed from another version of this item.)
(This abstract was borrowed from another version of this item.)
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • CRAINICH, David & LELEU, Hervé & MAULEON, Ana, 2011. "Hospital's activity-based financing system and manager: physician interaction," LIDAM Reprints CORE 2323, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    • Handle: RePEc:cor:louvrp:2323
    DOI: 10.1007/s10198-010-0255-1
    Note: In : The European Journal of Health Economics, 12(5), 417-427, 2011
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    Cited by:

    1. Takahara, Tsuyoshi, 2022. "Quality competition, location choice, and ownership conversion in the healthcare market," Economic Modelling, Elsevier, vol. 115(C).
    2. Alex Barrachina & Víctor González-Chordá, 2016. "To report or not to report: Applying game theory to nursing error reporting," Working Papers 2016/14, Economics Department, Universitat Jaume I, Castellón (Spain).

    More about this item

    JEL classification:

    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • D4 - Microeconomics - - Market Structure, Pricing, and Design
    • D2 - Microeconomics - - Production and Organizations

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