Buyer power and price discrimination: the case of the UK care homes market
UK Local Authorities purchase care home places on behalf of a large group of people following a means test of their income and wealth. All other buyers of care home services are atomistic. The care home market is characterised by a large number of small providers. Local authorities may thus have buyer power. We show that any abuse of this buyer power may lead to some people, 'the squeezed middle' not being served. We quantify the size of the squeezed middle and assess the implications of the form of the means test for local authorities' ability to exercise buyer power.
|Date of creation:||13 Dec 2010|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: https://www.iser.essex.ac.uk/
More information through EDIRC
|Order Information:|| Postal: Publications Office, Institute for Social and Economic Research, University of Essex, Wivenhoe Park, Colchester, Essex CO4 3SQ UK|
Web: https://www.iser.essex.ac.uk/publications/ Email:
When requesting a correction, please mention this item's handle: RePEc:ese:iserwp:2010-39. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Paul Groves)
If references are entirely missing, you can add them using this form.