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Hospital Market Concentration and Discrimination of Patients

Year:    2013

Author:    Dewenter, Ralf, Jaschinski, Thomas, Kuchinke, Björn A.

Journal of Contextual Economics – Schmollers Jahrbuch, Vol. 133 (2013), Iss. 3 : pp. 345–374

Abstract

In this paper we investigate the existence of a two-tier medical system in the German acute care hospital sector using data from a survey of 483 German hospitals. The focus of our analysis lies on the impact of hospital concentration on the probability of discrimination of patients with different health insurances in regard to the access to medical services. Accounting for a possible endogeneity of market structure, we find that hospitals in highly concentrated markets are less likely to pursue any differentiation among prospective patients with different health insurances. We ascribe this finding to competitive pressure in less concentrated markets. Hospitals in competitive markets are more obliged to steal business from rival hospitals by privileging profitable patients than hospitals in highly concentrated markets.

Journal Article Details

Publisher Name:    Global Science Press

Language:    English

DOI:    https://doi.org/10.3790/schm.133.3.345

Journal of Contextual Economics – Schmollers Jahrbuch, Vol. 133 (2013), Iss. 3 : pp. 345–374

Published online:    2013-09

AMS Subject Headings:    Duncker & Humblot

Copyright:    COPYRIGHT: © Global Science Press

Pages:    30

Keywords:    I1 I11 L1 L19 L22

Author Details

Dewenter, Ralf

Jaschinski, Thomas

Kuchinke, Björn A.

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