Policy Implications Of Transferring Patients To Private Practice
We construct a model to analyze the willingness of Health Authorities to reach agreements with private hospitals to have some of their public sector patients treated there. When physicians are dual suppliers, we show that a problem of cream-skimming arises and reduces the incentives of the government to undertake such a policy. We argue that the more disperse the severities of the patients are, the greater the reduction in the incentives will be. Moreover, we characterize the distortion that the cream-skimming phenomenon imposes on the characteristics of the policy, when this is implemented.
|Date of creation:||Jul 2002|
|Publication status:||Published by Ivie|
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- Ellis, Randall P. & McGuire, Thomas G., 1990. "Optimal payment systems for health services," Journal of Health Economics, Elsevier, vol. 9(4), pages 375-396, December.
- Hoel,M. & Soether,E.M., 2000.
"Private health care as a supplement to a public health system with waiting time for treatment,"
41/2000, Oslo University, Department of Economics.
- Hoel, Michael & Sæther, Erik Magnus, 2009. "Private health care as a supplement to a public health system with waiting time for treatment," HERO On line Working Paper Series 2000:9, Oslo University, Health Economics Research Programme.
- Blomqvist, Ake, 1991. "The doctor as double agent: Information asymmetry, health insurance, and medical care," Journal of Health Economics, Elsevier, vol. 10(4), pages 411-432.
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- Olivella, Pau, 2003. "Shifting public-health-sector waiting lists to the private sector," European Journal of Political Economy, Elsevier, vol. 19(1), pages 103-132, March.
- Gaynor, Martin, 1994. "Issues in the Industrial Organization of the Market for Physician Services," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 3(1), pages 211-255, Spring.
- Martin Gaynor, 1994. "Issues in the Industrial Organization of the Market for Physician Services," NBER Working Papers 4695, National Bureau of Economic Research, Inc.
- Ellis, Randall P., 1998. "Creaming, skimping and dumping: provider competition on the intensive and extensive margins1," Journal of Health Economics, Elsevier, vol. 17(5), pages 537-555, October.
- Selden, Thomas M., 1990. "A model of capitation," Journal of Health Economics, Elsevier, vol. 9(4), pages 397-409, December. Full references (including those not matched with items on IDEAS)
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