We study the impact of exposing hospitals in a National Health Service (NHS) to non-price competition by exploiting a … patient choice reform in Norway in 2001. The reform facilitates a difference-in-difference research design due to geographical … variation in the scope for competition. Using rich administrative data covering the universe of NHS hospital admissions from …

We investigate the effect of competition on quality in regulated markets (e.g., health care, higher education, public … to the steady state. While fiercer competition (lower transportation costs or less sluggish demand) leads to higher … quality in both solutions, the quality response to increased competition is weaker when players use feedback strategies …

demand. The merging firms will increase (reduce) both quality and price if the degree of competition is sufficiently stronger …