Free to Choose? Reform, Choice, and Consideration Sets in the English National Health Service

S-Tier
Journal: American Economic Review
Year: 2016
Volume: 106
Issue: 11
Pages: 3521-57

Score contribution per author:

2.681 = (α=2.01 / 3 authors) × 4.0x S-tier

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

Abstract

Choice in public services is controversial. We exploit a reform in the English National Health Service to assess the effect of removing constraints on patient choice. We estimate a demand model that explicitly captures the removal of the choice constraints imposed on patients. We find that, post-removal, patients became more responsive to clinical quality. This led to a modest reduction in mortality and a substantial increase in patient welfare. The elasticity of demand faced by hospitals increased substantially post-reform and we find evidence that hospitals responded to the enhanced incentives by improving quality. This suggests greater choice can raise quality.

Technical Details

RePEc Handle
repec:aea:aecrev:v:106:y:2016:i:11:p:3521-57
Journal Field
General
Author Count
3
Added to Database
2026-01-25