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Healthcare Quality, Patients’ Satisfaction, and Hospital Incentives in France

Author

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  • Myriam Lescher
  • Nicolas Sirven

Abstract

Health Authorities in France recently produced and made publicly available a wide array of regularly updated hospital care quality measures (www.scopesante.fr). Economic theory applied to healthcare markets predicts that monitoring costs incurred by Health Authorities (the principal) to signal hospitals? (the agent) quality should create incentives for the latter to improve their Quality and Safety Indicators (QSIs). However, patients rarely refer to technical quality information to choose between hospitals. They are more prone to make use of subjective appraisals (such as word-of-mouth) of which patients? satisfaction is a proxy. Using a unique dataset of 2,323 hospitals in France, and overcoming sample selection issues, we found a strong and positive correlation between a standardized measure of patients? satisfaction (e-satis) and various measures of QSIs. Our results suggest that, since patients use a signal that carries information about quality, hospitals could be incited to increase healthcare quality. Codes JEL: I18, L25, C34

Suggested Citation

  • Myriam Lescher & Nicolas Sirven, 2019. "Healthcare Quality, Patients’ Satisfaction, and Hospital Incentives in France," Revue d'économie politique, Dalloz, vol. 129(4), pages 525-551.
  • Handle: RePEc:cai:repdal:redp_294_0525
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    Citations

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    Cited by:

    1. Alibrandi, Angela & Gitto, Lara & Limosani, Michele & Mustica, Paolo Fabrizio, 2023. "Patient satisfaction and quality of hospital care," Evaluation and Program Planning, Elsevier, vol. 97(C).
    2. Alibrandi, Angela & Gitto, Lara & Limosani, Michele & Mustica, Paolo, 2020. "Improving health performances: To what extent patient satisfaction may influence quality?," MPRA Paper 105393, University Library of Munich, Germany.

    More about this item

    Keywords

    healthcare markets; hospital performance; quality and safety indicators; agency theory; signal quality;
    All these keywords.

    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models

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