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An Econometric Model of Healthcare Demand With Nonlinear Pricing
Author(s) -
Kunz Johannes S.,
Winkelmann Rainer
Publication year - 2017
Publication title -
health economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.55
H-Index - 109
eISSN - 1099-1050
pISSN - 1057-9230
DOI - 10.1002/hec.3343
Subject(s) - econometric model , economics , nonlinear pricing , econometrics , health care , nonlinear system , nonlinear model , microeconomics , economic growth , physics , quantum mechanics
Summary From 2004 to 2012, the German social health insurance levied a co‐payment for the first doctor visit in a calendar quarter. We develop a new model for estimating the effect of such a co‐payment on the individual number of visits per quarter. The model combines a one‐time increase in the otherwise constant hazard rate determining the timing of doctor visits with a difference‐in‐differences strategy to identify the reform effect. An extended version of the model accounts for a mismatch between reporting period and calendar quarter. Using data from the German Socio‐Economic Panel, we do not find an effect of the co‐payment on demand for doctor visits. Copyright © 2016 John Wiley & Sons, Ltd.

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