Physician pricing behavior: Evidence from an Australian experiment

B-Tier
Journal: Journal of Economic Behavior and Organization
Year: 2019
Volume: 161
Issue: C
Pages: 20-34

Authors (4)

Yu, Serena (not in RePEc) van Gool, Kees (not in RePEc) Hall, Jane (University of Technology Sydne...) Fiebig, Denzil G. (UNSW Sydney)

Score contribution per author:

0.503 = (α=2.01 / 4 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We examine the unregulated pricing behavior of physicians in response to an exogenous decrease in patient entitlements under a government scheme providing insurance for high out-of-pocket medical costs. We use survey-linked administrative data to estimate the causal effects of the policy change on consultation fees. Adopting a quasi-experimental difference-in-difference model, we find that in response, physicians with knowledge of the patient's eligibility raised consultation fees by an average 12%. The results show significant unintended consequences of the policy change, indicating that a physician's knowledge of patient eligibility for healthcare benefits may allow them to affect demand for their services.

Technical Details

RePEc Handle
repec:eee:jeborg:v:161:y:2019:i:c:p:20-34
Journal Field
Theory
Author Count
4
Added to Database
2026-01-25