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prices. Remedies based on separate bargaining do not alleviate the price increases. …We estimate a bargaining model of competition between hospitals and managed care organizations (MCOs) and use the … estimates to evaluate the effects of hospital mergers. We find that MCO bargaining restrains hospital prices significantly. The …
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are derived from a model of bilateral Nash-bargaining between upstream and downstream firms which allows for general forms …
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consumption, such as an insurer bargaining with hospitals. We show that the common Nash- in-Nash solution, while useful for …
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. Our findings suggest that perfect competition in both product and labour markets is widely rejected. Levels of the price …-cost margin and union bargaining power tend to be higher in some service sectors depicting however substantial heterogeneity …
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