2012
DOI: 10.1007/s10198-012-0396-5
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Inter-regional competition and quality in hospital care

Abstract: This study analyzes the effect of episode-of-care payment and patient choice on waiting time and the comprehensive quality of hospital care. The study assumes that two hospitals are located in two cities with different population sizes and compete with each other. We find that the comprehensive quality of hospital care as well as waiting time of both hospitals improve with an increase in payment per episode of care. However, we also find that the extent of these improvements differs according to the population… Show more

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Cited by 6 publications
(3 citation statements)
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“…Given the presence of firms owned by national and regional governments in many industries, the insights behind the paper can be incorporated into the analysis of different industries, e.g. the airport sector (Albalate et al (2012) and Matsumura and Matsushima (2012)), the broadcasting market (Bel and Domènech (2009) and González-Maestre and Martínez-Sánchez (2010), hospital markets (Brekke et al (2008), Aiura and Sanjo (2010) and Aiura (2013)), the university system (De Fraja and Valbonesi (2012) and Cremer and Maldonado (2013)), and the development of public facilities (Takahashi (2004)) among others.…”
Section: Introductionmentioning
confidence: 99%
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“…Given the presence of firms owned by national and regional governments in many industries, the insights behind the paper can be incorporated into the analysis of different industries, e.g. the airport sector (Albalate et al (2012) and Matsumura and Matsushima (2012)), the broadcasting market (Bel and Domènech (2009) and González-Maestre and Martínez-Sánchez (2010), hospital markets (Brekke et al (2008), Aiura and Sanjo (2010) and Aiura (2013)), the university system (De Fraja and Valbonesi (2012) and Cremer and Maldonado (2013)), and the development of public facilities (Takahashi (2004)) among others.…”
Section: Introductionmentioning
confidence: 99%
“…Thus, they omit firms owned by regional governments that are concerned only for the social welfare of their regions. However, such firms are present in many sectors: the airport sector (Albalate et al (2012)), the broadcasting market (Bel and Domènech (2009)), hospital markets (Aiura (2013)), the university system (De Fraja and Valbonesi (2012)), the development of public facilities (Takahashi (2004)), etc. My model incorporates regional public firms and analyzes the strategic interaction between them, the government of the country to which they belong and private owners.…”
Section: Introductionmentioning
confidence: 99%
“…1 Also, it might be possible that the decision of a certain local government affects those of 1 Many previous studies on mixed oligopoly have considered that public firms are owned by central governments which maximize the social welfare of their countries. But there are many sectors where firms are owned by local governments that are concerned only for the social welfare of their regions: the broadcasting market (Bel and Domènech 2009), hospital markets (Aiura 2013), the university system (De Fraja and Valbonesi 2012), the development of public facilities (Takahashi 2004), etc. the governments in other regions. Then, will it be socially desirable for the central government to uniformly advance privatization from a viewpoint of a nationwide welfare to all public firms?…”
Section: Introductionmentioning
confidence: 99%