Hafsteinsdottir, Elin Johanna Gudrun; Siciliani, Luigi - In: Health Economics 19 (2010) 10, pp. 1226-1239
We present a model of contracting between a purchaser of health services and a provider (a hospital). We assume that hospitals provide two alternative treatments for a given diagnosis: a less intensive one (for example, a medical treatment) and a more intensive one (a surgical treatment). We...