{"title":"The effect of performance pay incentives on market frictions: evidence from medicare.","authors":"Atul Gupta, Guy David, Lucy Kim","doi":"10.1007/s10754-022-09339-4","DOIUrl":"https://doi.org/10.1007/s10754-022-09339-4","url":null,"abstract":"<p><p>Medicare has increased the use of performance pay incentives for hospitals, with the goal of increasing care coordination across providers, reducing market frictions, and ultimately to improve quality of care. This paper provides new empirical evidence by using novel operations and claims data from a large, independent home health care firm with the Hospital Readmissions Reduction Program (HRRP) penalty on hospitals providing identifying variation. We find that the penalty incentive to reduce re-hospitalizations passed through from hospitals to the firm for at least some types of patients, since it provided more care inputs for heart disease patients discharged from hospitals at greater penalty risk and that contributed more patients to the firm. This evidence suggests that HRRP helped increase coordination between hospitals and home health firms without formal integration. Greater home health effort does not appear to have led to lower patient readmissions.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"23 1","pages":"27-57"},"PeriodicalIF":2.4,"publicationDate":"2023-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"10772576","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Remco van Eijkel, Mark Kattenberg, Ab van der Torre
{"title":"Pricing behavior in long term care markets: evidence from provider-level data for home help services.","authors":"Remco van Eijkel, Mark Kattenberg, Ab van der Torre","doi":"10.1007/s10754-022-09334-9","DOIUrl":"https://doi.org/10.1007/s10754-022-09334-9","url":null,"abstract":"<p><p>Exploiting a rich data set on the Dutch market for home help services, we find that larger providers obtain a higher price than do small providers. However, compared to other studies on market power in care markets this price difference is considered small to moderate. Our identification strategy relies on the exogenous variation in market shares in January'07, the very first month after home help was decentralized to municipalities. Zooming in on our main outcome, we obtain that the small but significant effect of market size on price is merely driven by the pricing behavior of for-profit providers.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"23 1","pages":"59-83"},"PeriodicalIF":2.4,"publicationDate":"2023-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"10782256","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The influence of strong and weak ties in physician peer networks on new drug adoption.","authors":"Yong Cai, Mohamed Abouzahra","doi":"10.1007/s10754-022-09335-8","DOIUrl":"https://doi.org/10.1007/s10754-022-09335-8","url":null,"abstract":"<p><p>Physicians interact and exchange information through various social networks. Understanding peer effects through different networks can help accelerate new medical technology and innovative treatment adoption. In this research, we measure the influence of strong-tie and weak-tie connections on new drug adoption and study the overlap between advice-discussion and patient-sharing network. We construct two physician networks with strong and weak ties from peer nomination surveys and commercial medical claims data. We design a dynamic system to define peer adoption status and build patient-level hierarchical logistic models to measure the peer influence on new product adoption for treating new-to-therapy patients. Our results show that A strong-tie early adoption peer has six times more influence on new drug adoption than a weak-tie peer. Weak tie peers collectively exert as much or higher influence than strong-tie peers because of the larger network size. In the case of inaccessibility to strong-tie data, researchers can still reliably use the influence of the weak tie data only even though they will lose the effect of the omitted strong ties.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"23 1","pages":"133-147"},"PeriodicalIF":2.4,"publicationDate":"2023-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"10839548","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Michael Berger, Markus Pock, Miriam Reiss, Gerald Röhrling, Thomas Czypionka
{"title":"Exploring the effectiveness of demand-side retail pharmaceutical expenditure reforms : Cross-country evidence from weighted-average least squares estimation.","authors":"Michael Berger, Markus Pock, Miriam Reiss, Gerald Röhrling, Thomas Czypionka","doi":"10.1007/s10754-022-09337-6","DOIUrl":"https://doi.org/10.1007/s10754-022-09337-6","url":null,"abstract":"<p><p>Increasing expenditures on retail pharmaceuticals bring a critical challenge to the financial stability of healthcare systems worldwide. Policy makers have reacted by introducing a range of measures to control the growth of public pharmaceutical expenditure (PPE). Using panel data on European and non-European OECD member countries from 1990 to 2015, we evaluate the effectiveness of six types of demand-side expenditure control measures including physician-level behaviour measures, system-level price-control measures and substitution measures, alongside a proxy for cost-sharing and add a new dimension to the existing empirical evidence hitherto based on national-level and meta-studies. We use the weighted-average least squares regression framework adapted for estimation with panel-corrected standard errors. Our empirical analysis suggests that direct patient cost-sharing and some-but not all-demand-side measures successfully dampened PPE growth in the past. Cost-sharing schemes stand out as a powerful mechanism to curb PPE growth, but bear a high risk of adverse effects. Other demand-side measures are more limited in effect, though may be more equitable. Due to limitations inherent in the study approach and the data, the results are only explorative.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"23 1","pages":"149-172"},"PeriodicalIF":2.4,"publicationDate":"2023-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9968684/pdf/","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"10854308","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Discontinuation of performance-based financing in primary health care: impact on family planning and maternal and child health.","authors":"Amira El-Shal, Patricia Cubi-Molla, Mireia Jofre-Bonet","doi":"10.1007/s10754-022-09333-w","DOIUrl":"https://doi.org/10.1007/s10754-022-09333-w","url":null,"abstract":"<p><p>Performance-based financing (PBF) is advocated as an effective means to improve the quality of care by changing healthcare providers' behavior. However, there is limited evidence on its effectiveness in low- and middle-income countries and on its implementation in primary care settings. Evidence on the effect of discontinuing PBF is even more limited than that of introducing PBF schemes. We estimate the effects of discontinuing PBF in Egypt on family planning, maternal health, and child health outcomes. We use a difference-in-differences (DiD) model with fixed effects, exploiting a unique dataset of six waves of spatially constructed facility-level health outcomes. We find that discontinuing performance-based incentives to providers had a negative effect on the knowledge of contraceptive methods, iron supplementation during pregnancy, the prevalence of childhood acute respiratory infection, and, more importantly, under-five child mortality, all of which were indirectly targeted by the PBF scheme. No significant effects are reported for directly targeted outcomes. Our findings suggest that PBF can induce permanent changes in providers' behavior, but this may come at the expense of non-contracted outcomes.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"23 1","pages":"109-132"},"PeriodicalIF":2.4,"publicationDate":"2023-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9115741/pdf/","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"10802582","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Catastrophic health expenditure and its determinants among Nigerian households.","authors":"Ryoko Sato","doi":"10.1007/s10754-022-09323-y","DOIUrl":"https://doi.org/10.1007/s10754-022-09323-y","url":null,"abstract":"<p><p>Health expenditure can be substantial, especially in countries without national health insurance schemes, and it can negatively affect people's welfare. This study uses recent data to evaluate the extent to which Nigerian households suffer from catastrophic health expenditure (CHE) and evaluates its determinants. We used the Living Standards Survey 2018-2019 to estimate the headcount of Nigerian households that experience CHE-the proportion of health expenditures exceeding a certain ratio of such expenditures to non-food expenditures. To evaluate the determinants of CHE, we used ordinary least square regression with state fixed effects. The total sample was 22,110 nationally representative households. Many households, especially poorer ones, do not have any health care expenses; only 60.6% of the poorest households had some health-related expenditure. Even with the limited health-seeking behaviors in this demographic, the percentage of households that suffered from CHE was very high: with a 15% cutoff for CHE thresholds, 34.9 to 44.2% of households experienced CHE. Lower education, higher non-food consumption, and rural residence were correlated with higher amounts of health expenditure and higher odds of CHE. Health-seeking behaviors such as clinic visits for sickness treatment and prevention are limited, especially among the poorer households. Even so, the headcount of households experiencing CHE is very high in Nigeria. Advancing the implementation of national health insurance scheme is important to reduce the burden of health expenditure, especially among the poor, as well as to remove financial barriers to their seeking adequate health services.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"22 4","pages":"459-470"},"PeriodicalIF":2.4,"publicationDate":"2022-12-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"39779025","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Competition and physician-induced demand in a healthcare market with regulated price: evidence from Ghana.","authors":"Adolf Kwadzo Dzampe, Shingo Takahashi","doi":"10.1007/s10754-021-09320-7","DOIUrl":"https://doi.org/10.1007/s10754-021-09320-7","url":null,"abstract":"<p><p>Using panel data of administrative claims spanning 36 months (2017-2019) and an instrumental variable method, this study examines whether physician-induced demand for hypertension disease care exists in Ghana's healthcare system where price is regulated, and there is no co-payment. We find that an increase in competition-measured as a high doctor-to-population ratio at the district level-leads to an increase in the number of physician visits, suggesting physician-induced demand exists, and that effects are greater for large hospitals and public health providers. This result is further supported by alternative measures and specifications showing that physicians' revenue from medication and gross revenue increase as the physician density increases. These pattern suggest that physicians in high density areas, faced with a decrease in number of patients per physician, make up for the decline in income by inducing more patient visits.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"22 3","pages":"295-313"},"PeriodicalIF":2.4,"publicationDate":"2022-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9365740/pdf/","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"10249551","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Predicting diagnostic coding in hospitals: individual level effects of price incentives.","authors":"Kjartan Sarheim Anthun","doi":"10.1007/s10754-021-09314-5","DOIUrl":"https://doi.org/10.1007/s10754-021-09314-5","url":null,"abstract":"<p><p>The purpose of this paper is to test if implicit price incentives influence the diagnostic coding of hospital discharges. We estimate if the probability of being coded as a complicated patient was related to a specific price incentive. This paper tests empirically if upcoding can be linked to shifts in patient composition through proxy measures such as age composition, length of stay, readmission rates, mortality- and morbidity of patients. Data about inpatient episodes in Norway in all specialized hospitals in the years 1999-2012 were collected, N = 11 065 330. We examined incentives present in part of the hospital funding system. First, we analyse trends in the proxy measures of diagnostic upcoding: can hospital behavioural changes be seen over time with regards to age composition, readmission rates, length of stay, comorbidity and mortality? Secondly, we examine specific patient groups to see if variations in the price incentive are related to probability of being coded as complicated. In the first years (1999-2003) there was an observed increase in the share of episodes coded as complicated, while the level has become more stable in the years 2004-2012. The analysis showed some indications of upcoding. However, we found no evidence of widespread upcoding fuelled by implicit price incentive, as other issues such as patient characteristics seem to be more important than the price differences. This study adds to previous research by testing individual level predictions. The added value of such analysis is to have better case mix control. We observe the presence of price effects even at individual level.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"22 2","pages":"129-146"},"PeriodicalIF":2.4,"publicationDate":"2022-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9090893/pdf/","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"39489043","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Temporary and persistent overweight and long-term labor market outcomes.","authors":"Liisa T Laine, Ari Hyytinen","doi":"10.1007/s10754-021-09315-4","DOIUrl":"https://doi.org/10.1007/s10754-021-09315-4","url":null,"abstract":"<p><p>We study how the duration of being overweight earlier in life is related to subsequent long-term labor market outcomes. Our data on fraternal and identical twins born and raised in the same household contain weight measurements of the twins during their early adulthood measured in 1975, 1981, and 1990 and is linked to register-based administrative data on the earnings and employment from 1990 to 2009. When combined, these data enable an empirical strategy that controls for the family environment and genes shared by twins. We find that being persistently overweight during early adulthood is negatively associated with long-term earnings for both women and men. We find that for women, the association is driven by a decrease in labor market-attachment, whereas for men, the association is driven by lower annual earnings.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"22 2","pages":"181-203"},"PeriodicalIF":2.4,"publicationDate":"2022-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"39694404","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"State minimum wages and health insurance coverage in the United States: 2008-2018.","authors":"Masanori Kuroki","doi":"10.1007/s10754-021-09313-6","DOIUrl":"https://doi.org/10.1007/s10754-021-09313-6","url":null,"abstract":"<p><p>This study examines the effect of minimum wage hikes on the shares of uninsured people during the period 2008-2018. Despite some concern that higher minimum wages would lead to higher uninsured rates by (1) reducing employment, (2) inducing employers to stop offering health insurance to their employees, and (3) making minimum wage workers ineligible for Medicaid by increasing their earnings, the findings indicate that the uninsured rate tends to decrease with higher minimum wages, suggesting that minimum wage hikes might encourage minimum-wage workers to obtain health insurance. The effects appear to come from minimum wage hikes that occurred after the Affordable Care Act (ACA) took effect in 2014, suggesting that higher minimum wages combined with federal subsidies for the ACA marketplace and the individual mandate might have contributed to a reduction in the uninsured rate. However, Medicaid expansions seem to mitigate the effect of the minimum wage on the uninsured rate among low-income households.</p>","PeriodicalId":44403,"journal":{"name":"International Journal of Health Economics and Management","volume":"22 2","pages":"163-180"},"PeriodicalIF":2.4,"publicationDate":"2022-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8424407/pdf/","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"39412859","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}