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Government purchasing of health services

  • Chalkley, M.
  • Malcomson, J.M.

This chapter reviews the literature on payment schemes for government purchases of health services. It focuses on four themes: (1) the tension between obtaining appropriate quality of services and keeping the cost of those services at an acceptable level; (2) the role of cost sharing by the payer when there is asymmetric information between purchaser and supplier about costs or case-mix; (3) the importance of committment in purchasing; and (4) the role of reputation in maintaining quality in long term relationships between purchasers and suppliers.

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Paper provided by Economics Division, School of Social Sciences, University of Southampton in its series Discussion Paper Series In Economics And Econometrics with number 9821.

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Date of creation: 01 Jan 1998
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Handle: RePEc:stn:sotoec:9821
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