Arbeitspapier

Do Hospitals Respond to Increasing Prices by Supplying Fewer Services?

Medical providers often have a significant influence on treatment decisions which they can use in their own financial interest. Classical models of supplier-induced demand predict that medical providers will supply fewer services if they face increasing prices. We test this prediction based on a reform of hospital financing in Germany. Uniquely, this reform changed the overall level of reimbursement - with increasing prices for some hospitals and decreasing prices for others - without affecting the relative prices for different types of patients. Based on administrative data, we find that hospitals do indeed react to increasing prices by reducing service supply.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 9229

Klassifikation
Wirtschaft
Analysis of Health Care Markets
Market Structure, Firm Strategy, and Market Performance: General
Business Objectives of the Firm
Thema
physician-induced demand
hospital care
prospective payment

Ereignis
Geistige Schöpfung
(wer)
Salm, Martin
Wübker, Ansgar
Ereignis
Veröffentlichung
(wer)
Institute for the Study of Labor (IZA)
(wo)
Bonn
(wann)
2015

Handle
Letzte Aktualisierung
10.03.2025, 11:42 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

  • Salm, Martin
  • Wübker, Ansgar
  • Institute for the Study of Labor (IZA)

Entstanden

  • 2015

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