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Doctor Decision Making and Patient Outcomes

Author

Listed:
  • Janet Currie

    (Yale University)

  • W. Bentley MacLeod

    (Yale University)

  • Kate Musen

    (Columbia University)

Abstract

Doctors often treat similar patients differently, which affects health outcomes and medical spending. We assess the recent literature on doctor decision making through the lens of a model that incorporates diagnostic and procedural skills, beliefs, incentives, and differences in patient pools. Decision making is affected by beliefs, training, experience, peer effects, financial incentives, and time constraints. Interventions to improve decision making include providing information, guidelines, and technologies like electronic medical records and algorithmic decision tools. Economists have made progress in understanding doctor decision making, but applications of that knowledge to improving health care are still limited.

Suggested Citation

  • Janet Currie & W. Bentley MacLeod & Kate Musen, 2025. "Doctor Decision Making and Patient Outcomes," Cowles Foundation Discussion Papers 2488, Cowles Foundation for Research in Economics, Yale University.
  • Handle: RePEc:cwl:cwldpp:2488
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    File URL: https://cowles.yale.edu/sites/default/files/2026-02/d2488.pdf
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    References listed on IDEAS

    as
    1. Jason Abaluck & Leila Agha & Chris Kabrhel & Ali Raja & Arjun Venkatesh, 2016. "The Determinants of Productivity in Medical Testing: Intensity and Allocation of Care," American Economic Review, American Economic Association, vol. 106(12), pages 3730-3764, December.
    2. David C. Chan Jr & Matthew Gentzkow & Chuan Yu, 2019. "Selection with Variation in Diagnostic Skill: Evidence from Radiologists," NBER Working Papers 26467, National Bureau of Economic Research, Inc.
    3. David C Chan & Matthew Gentzkow & Chuan Yu, 2022. "Selection with Variation in Diagnostic Skill: Evidence from Radiologists [The Determinants of Productivity in Medical Testing: Intensity and Allocation of Care]," The Quarterly Journal of Economics, Oxford University Press, vol. 137(2), pages 729-783.
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    Cited by:

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    2. David Bardey & Philippe de Donder & Marie-Louise Leroux, 2024. "Incentivizing Physicians' Diagnostic Effort and Test with Moral Hazard and Adverse Selection," Working Papers hal-04803393, HAL.

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    More about this item

    JEL classification:

    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • G51 - Financial Economics - - Household Finance - - - Household Savings, Borrowing, Debt, and Wealth
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J44 - Labor and Demographic Economics - - Particular Labor Markets - - - Professional Labor Markets and Occupations

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