Almond, Douglas; Joseph J. Doyle, Jr.; Kowalski, Amanda E. - In: The Quarterly Journal of Economics 125 (2010) 2, pp. 591-634
A key policy question is whether the benefits of additional medical expenditures exceed their costs. We propose a new approach for estimating marginal returns to medical spending based on variation in medical inputs generated by diagnostic thresholds. Specifically, we combine regression...