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Cost-sharing is regarded as an important tool to combat moral hazard in health insurance. Contrary to standard … implications of different insurance designs. I find cost-sharing never to be an optimal solution as it produces two novel …
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The production of health does not only depend on the medical services supplied by the physician but is also influenced by the patient's compliance. A model of medical treatment is presented in which both the actions of physician and patient are modeled as a productive input. The analysis...
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