Bijlsma, Michiel; Zwart, Gijsbert; Boone, Jan - Centraal Planbureau (CPB), Government of the Netherlands - 2011
In this paper, the authors study optimal risk adjustment in imperfectly competitive health insurance markets when high-risk consumers are less likely to switch insurer than low-risk consumers.<font face="CMR10" size="3"><font face="CMR10" size="3">First, they find that insurers still have an incentive to select even if risk adjustment perfectly...</font></font>