Product differentiation and welfare in a mixed duopoly with regulated prices : the case of a public and a private hospital
نویسنده
چکیده
Hospital markets are often characterised by price regulation and the existence of different ownership types. Using a Hotelling framework, this paper analyses the effect of different objectives of the hospitals on quality, profits, and overall welfare in a price regulated duopoly with symmetric locations. In contrast to other studies on mixed oligopolies, this paper shows that in a duopoly with regulated ∗I am grateful to Justus Haucap, Hendrik Schmitz, and Tobias Wenzel for comments on my research. †Lehrstuhl für Wirtschaftspolitik, Universität Erlangen-Nürnberg, Lange Gasse 20, 90403 Nürnberg, [email protected]
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