Brekke, Kurt R.; Siciliani, Luigi; Straume, Odd Rune - CESifo - 2013
. Softer budgets reduce cost efficiency, while the effect on quality is ambiguous. For given cost efficiency, softer budgets …We study the incentives for hospitals to provide quality and expend cost-reducing effort when their budgets are soft, i … increase quality since parts of the expenditures may be covered by the payer. However, softer budgets reduce cost …