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Economic Incentives and Hospitalization in Germany

Author

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  • Million, Andreas
  • Rotte, Ralph
  • Zimmermann, Klaus F

Abstract

The determinants of the dramatically rising expenditures on health care in general, and on hospital care in particular, have been of prior concern to policy and to research. Using a rich panel data set this paper contributes to this literature by investigating factors determining the demand for hospitalization in Germany. While most previous studies have found a significant impact of social insurance on the demand for hospital trips, the empirical results presented here cast doubts on the propelling role of those economic incentives in the German case. There are also important differences in the hospitalization behaviour of men and women and between the full sample and those who are chronically ill, which have been neglected by the literature. The analysis relies on various count data models including Poisson, NEGBIN, ZIP (/), hurdle Poisson and NEGBIN panel models, and the findings are rather robust.

Suggested Citation

  • Million, Andreas & Rotte, Ralph & Zimmermann, Klaus F, 1996. "Economic Incentives and Hospitalization in Germany," CEPR Discussion Papers 1516, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:1516
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    Citations

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    Cited by:

    1. Dustmann, Christian & Windmeijer, Frank, 2000. "Wages and the Demand for Health - A Life Cycle Analysis," IZA Discussion Papers 171, Institute of Labor Economics (IZA).
    2. Michael Creel & Montserrat Farell, 2005. "Modeling Usage of Medical Care Services: The Medical Expenditure Panel Survey Data, 1996-2000," UFAE and IAE Working Papers 646.05, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
    3. Hendrik Schmitz, 2008. "Do Optional Deductibles Reduce the Number of Doctor Visits?: Empirical Evidence with German Data," SOEPpapers on Multidisciplinary Panel Data Research 141, DIW Berlin, The German Socio-Economic Panel (SOEP).
    4. Bauer, Thomas K. & Million, Andreas & Rotte, Ralph & Zimmermann, Klaus F., 1998. "Immigration Labor and Workplace Safety," IZA Discussion Papers 16, Institute of Labor Economics (IZA).

    More about this item

    Keywords

    Count Data Analysis; Health Care; Hospital Trips; Migration;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education

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