Price adjustment in the hospital sector.

نویسندگان

  • Marisa Miraldo
  • Luigi Siciliani
  • Andrew Street
چکیده

We analyse the properties of optimal price adjustment to hospitals when no lump-sum transfers are allowed and when prices differ to reflect observable exogenous differences in costs. We find that: (a) when the marginal benefit from treatment is decreasing and the cost function is the power function, price adjustment for hospitals with higher costs is positive but partial; if the marginal benefit is constant, the price is identical across providers; (b) if the cost function is exponential or it is separable in monetary and non-monetary costs (and linear in monetary costs), price adjustment is positive even when the marginal benefit is constant; (c) higher inequality aversion of the purchaser increases concentration in prices and lowers concentration in quantities; (d) if some dimensions of costs are private information, a higher correlation between the observable and unobservable cost component increases the optimal price for providers whose observable costs are above the average.

برای دانلود متن کامل این مقاله و بیش از 32 میلیون مقاله دیگر ابتدا ثبت نام کنید

ثبت نام

اگر عضو سایت هستید لطفا وارد حساب کاربری خود شوید

منابع مشابه

Price Transmission, Threshold Behavior and Asymmetric Adjustment in Iranian Poultry Market

The Iranian poultry sector has experienced many significant structural changes in recent years. Such changes may have influenced price dynamics and transmission of shocks through marketing channels especially on retail markets. This paper investigate price transmission, threshold behavior and asymmetric adjustment in poultry sector of Ardebil (AR), east Azerbaijan (EA) and west Azerbaijan (WA) ...

متن کامل

پیامد تعدیل قیمت بنزین و سوخت جت بر مصرف و هزینه تولید حمل‌ونقل جاده‌ای و هوایی

In recent years, Iran has increased energy prices somewhat, but because of the very low starting point they remain far below opportunity costs. In this paper we examine two broad issues: First, the estimated impact of the energy price (Gasoline and Jet Fuel) rises on producer prices entire the economy and transportation sub-sectors, and the second, the Estimated of gasoline and jet fuel elastic...

متن کامل

Economic Factors affecting demand for gas in Iran

In this study the autoregressive distributed lag model and error correction model to estimate Hazard function is used during the years 1377-1394. The results show that in the short term and long term there is substitution between electricity and natural gas in the domestic sector. But the price elasticity of demand relative to the price of electricity is less than 5.0, this result indicates tha...

متن کامل

Assessing the Behavioral Reaction of Investors to the Price Change Using the Speed of Price Adjustment Approach to the General Information and Its Relation with Future Return

In Recent Decades, The Financial Sphere has entered a New Era of Contempt for Some of the Assumptions of Modern Economics and Finance. One of These Assumptions is the Rationale of the Investors, which has been Seriously Challenged and Is Now Being Strengthened by the Fact That Prices are Determined more by Attitudes and Psychological Factors than for Fundamental Variables and Therefore the Stud...

متن کامل

ذخیره در منابع من


  با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید

برای دانلود متن کامل این مقاله و بیش از 32 میلیون مقاله دیگر ابتدا ثبت نام کنید

ثبت نام

اگر عضو سایت هستید لطفا وارد حساب کاربری خود شوید

عنوان ژورنال:
  • Journal of health economics

دوره 30 1  شماره 

صفحات  -

تاریخ انتشار 2011