Arbeitspapier

Physician performance pay: Evidence from a laboratory experiment

We present causal evidence from a controlled experiment on the effect of pay for performance on physicians' behavior and patients' health benefits. At a within-subject level, we introduce performance pay to complement either fee-for-service or capitation. Performance pay is granted if a health care quality threshold is reached, and varies with the patients' severity of illness. We find that performance pay significantly reduces overprovision of medical services due to fee-for-service incentives, and underprovision due to capitation; on average, it increases the patients' health benefit. The magnitude of these effects depends, however, on the patients' characteristics. We also find evidence for a crowding-out of patient-regarding behavior due to performance pay. Health policy implications are discussed.

ISBN
978-3-86788-764-9
Sprache
Englisch

Erschienen in
Series: Ruhr Economic Papers ; No. 658

Klassifikation
Wirtschaft
Design of Experiments: Laboratory, Individual
Analysis of Health Care Markets
Thema
Fee-for-service
capitation
pay for performance
laboratory experiment
crowding-out

Ereignis
Geistige Schöpfung
(wer)
Brosig-Koch, Jeannette
Hennig-Schmidt, Heike
Kairies-Schwarz, Nadja
Wiesen, Daniel
Ereignis
Veröffentlichung
(wer)
RWI - Leibniz-Institut für Wirtschaftsforschung
(wo)
Essen
(wann)
2016

DOI
doi:10.4419/86788764
Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Brosig-Koch, Jeannette
  • Hennig-Schmidt, Heike
  • Kairies-Schwarz, Nadja
  • Wiesen, Daniel
  • RWI - Leibniz-Institut für Wirtschaftsforschung

Entstanden

  • 2016

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