Hospital heterogeneity is a major issue in defining a reimbursement system. If hospitals are heterogeneous, it is … reduced, because it is due to other unobserved sources of hospital heterogeneity. In this paper, we apply an econometric … approach to analyse hospital cost variability. We use a nested three-dimensional database (stays-hospitals-years) in order to …

The purpose of this paper is to study hospital costs in the event of introduction of a Prospective Payment System in … France. We use a nested three dimensional database (stays-hospitals-years) to identify hospital unobservable heterogeneity …

increase hospital efficiency when hospitals are heterogeneous, without reducing the quality of care. We consider an extension … (hospital management can be permanently inefficient) and transitory moral hazard. The latter is linked to the manager … supplies delivered to the hospital by outside firms. The use of a three-dimensional nested database makes it possible to …