Dranove, David; Satterthwaite, Mark A. - In: Handbook of health economics : volume 1, part B, (pp. 1093-1139). 2000
overcome the resulting inefficiencies. We combine the theory of agency with a model of monopolistic competition to explore … cost-based reimbursement for hospitals; (2) regulation; and (3) managed care. Each regime represents, for its time, a … sensible response to market failure. Each regime has predictable consequences for prices, costs, and quality. We examine the …