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The impact of cross-border patient movement on the delivery of healthcare services

Author

Listed:
  • Dimitrios Andritsos

    (GREGH - Groupement de Recherche et d'Etudes en Gestion à HEC - HEC Paris - Ecole des Hautes Etudes Commerciales - CNRS - Centre National de la Recherche Scientifique)

  • Christopher S. Tang

    (Anderson Graduate School of Management, UCLA - UCLA - University of California [Los Angeles] - UC - University of California)

Abstract

Motivated by a recent legislative discussion in the European Union about providing European patients with the freedom to choose the country they receive treatment, we use a queueing framework to analyze a game-theoretic model that captures the interactions among the patients, the providers, and the healthcare funders. We examine the impact of such "free choice" on the healthcare systems of different countries in equilibrium. Under the assumption that each patient will always prefer to receive care at home when the waiting time is below her individual tolerance level, we show that, in the long run, cross-border patient movement can increase patient welfare due to increased access to care. However, it has a mixed effect on waiting times and reimbursement rates. Moreover, the additional costs of increased access to care are disproportionately shared between the participating countries.

Suggested Citation

  • Dimitrios Andritsos & Christopher S. Tang, 2013. "The impact of cross-border patient movement on the delivery of healthcare services," Post-Print hal-00863353, HAL.
  • Handle: RePEc:hal:journl:hal-00863353
    DOI: 10.1016/j.ijpe.2013.05.025
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    Cited by:

    1. Hanukov, Gabi & Avinadav, Tal & Chernonog, Tatyana & Spiegel, Uriel & Yechiali, Uri, 2018. "Improving efficiency in service systems by performing and storing “preliminary services”," International Journal of Production Economics, Elsevier, vol. 197(C), pages 174-185.
    2. Young Hoon Lee & Yong Ho Choi, 2020. "Optimal cost adjustment for a selfish routing healthcare network," Health Care Management Science, Springer, vol. 23(4), pages 585-604, December.
    3. Brekke, Kurt R. & Levaggi, Rosella & Siciliani, Luigi & Straume, Odd Rune, 2016. "Patient mobility and health care quality when regions and patients differ in income," Journal of Health Economics, Elsevier, vol. 50(C), pages 372-387.
    4. Li, Zhong-Ping & Wang, Jian-Jun, 2021. "Effects of healthcare quality and reimbursement rate in a hospital association," Socio-Economic Planning Sciences, Elsevier, vol. 76(C).
    5. repec:nip:nipewp:09/2015 is not listed on IDEAS
    6. Yang, Yefei & Zhang, Xiaofei & Lee, Peter K.C., 2019. "Improving the effectiveness of online healthcare platforms: An empirical study with multi-period patient-doctor consultation data," International Journal of Production Economics, Elsevier, vol. 207(C), pages 70-80.
    7. Wang, Yulan & Wallace, Stein W. & Shen, Bin & Choi, Tsan-Ming, 2015. "Service supply chain management: A review of operational models," European Journal of Operational Research, Elsevier, vol. 247(3), pages 685-698.
    8. Qian, Qu & Zhuang, Weifen, 2017. "Tax/subsidy and capacity decisions in a two-tier health system with welfare redistributive objective," European Journal of Operational Research, Elsevier, vol. 260(1), pages 140-151.
    9. Zhang, Zhe George & Yin, Xiaoling, 2021. "Information and pricing effects in two-tier public service systems," International Journal of Production Economics, Elsevier, vol. 231(C).

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