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Doctors’ Fees in Ireland Following the Change in Reimbursement - Did They Jump?

  • David Madden

    (University College of Dublin)

This paper analyses the pure time-series properties of doctors’ fees in Ireland to assess whether a structural change in the series is observed at the time of the change in reimbursement in 1989. Such a break would be consistent with doctors responding to the reimbursement change in a manner predicted by supplier-induced-demand behaviour and would provide indirect evidence that such inducement had taken place. Structural change is assessed on the basis of CUSUM and CUSUMSQ tests. The data is also analysed for the presence of unusually influential observations. In neither case are the results consistent with a break around the time of the introduction of the change.

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File URL: http://www.ucd.ie/economics/research/papers/2005/WP05.20.pdf
File Function: First version, 2005
Download Restriction: no

Paper provided by School Of Economics, University College Dublin in its series Working Papers with number 200520.

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Length: 25 pages
Date of creation: 23 Nov 2005
Date of revision:
Handle: RePEc:ucn:wpaper:200520
Contact details of provider: Postal: UCD, Belfield, Dublin 4
Phone: +353-1-7067777
Fax: +353-1-283 0068
Web page: http://www.ucd.ie/economics

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  1. Jushan Bai & Pierre Perron, 1998. "Estimating and Testing Linear Models with Multiple Structural Changes," Econometrica, Econometric Society, vol. 66(1), pages 47-78, January.
  2. BAI, Jushan & PERRON, Pierre, 1998. "Computation and Analysis of Multiple Structural-Change Models," Cahiers de recherche 9807, Universite de Montreal, Departement de sciences economiques.
  3. Pierre Perron, 2005. "Dealing with Structural Breaks," Boston University - Department of Economics - Working Papers Series WP2005-017, Boston University - Department of Economics.
  4. David Madden & Anne Nolan & Brian Nolan, 2005. "GP reimbursement and visiting behaviour in Ireland," Health Economics, John Wiley & Sons, Ltd., vol. 14(10), pages 1047-1060.
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