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Competing hospitals may not only use quality of service to attract patients but also their specialization profile. Applying a Hotelling-duopoly and interpreting respectively quality and specialization as vertical and horizontal differentiation, we analyze the optimal allocation in both...
Persistent link: https://www.econbiz.de/10011506836
We analyse the effect of competition on quality in hospital markets with regulated prices, considering both the effect … of (i) introducing competition (monopoly versus competition) and (ii) increasing competition through lower transportation … structure, we show that the relationship between competition and quality is generally ambiguous. In contrast to the received …
Persistent link: https://www.econbiz.de/10013152862
Although personalized medicine is becoming the new paradigm to manage some diseases, the economics of personalized medicine have only focused on assessing the efficiency of specific treatments, lacking a theoretical framework analyzing the interactions between pharmaceutical firms and healthcare...
Persistent link: https://www.econbiz.de/10011586604
With the Hatch-Waxman Act of 1984, the FDA included an unchallengeable exclusivity period for newly approved drugs, independent of patents. This potentially generates an incentive for firms to strategically delay the introduction of new versions (reformulations) of drugs until just before patent...
Persistent link: https://www.econbiz.de/10014135034
evidence, we build a spatial quality competition model with altruism heterogeneity. We find that more altruistic healthcare … offset costly quality competition. …
Persistent link: https://www.econbiz.de/10010417198
We study the incentives for hospitals to provide quality and expend cost-reducing effort when their budgets are soft, i.e., the payer may cover deficits or confiscate surpluses. The basic set up is a Hotelling model with two hospitals that differ in location and face demand uncertainty, where...
Persistent link: https://www.econbiz.de/10013108158
We study the incentives for hospitals to provide quality and expend cost-reducing effort when their budgets are soft, i.e., the payer may cover deficits or confiscate surpluses. The basic set up is a Hotelling model with two hospitals that differ in location and face demand uncertainty, where...
Persistent link: https://www.econbiz.de/10013087727
This paper studies the impact of hospital competition on waiting times. We use a Salop-type model, with hospitals that … from the closest hospital (monopoly segment). Compared with a benchmark case of monopoly, we find that hospital competition … hospital competition, the effect of increased competition depends on the parameter of measurement: Lower travelling costs …
Persistent link: https://www.econbiz.de/10013316811
perfection of the open-loop Nash solution. Moreover, we identify the admissible parameter region wherein price regulation …
Persistent link: https://www.econbiz.de/10011737232
We study competing hospitals' incentives for quality provision in a dynamic setting where healthcare is an experience good. In our model, the utility a patient derives from choosing a particular provider depends on a subjective component specific to the match between the patient and the...
Persistent link: https://www.econbiz.de/10014263337