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Income Distribution and the Public-Private Mix in Health Care Provision: The Latin American Case

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  • Daniel Maceira

Abstract

Recent literature on Latin American countries shows that private expenses as a share of the total expenditures in health tend to be higher the lower the nation`s level of economic development. This paper considers a discrete choice model of product differentiation, where consumer choice is based on a price-quality tradeoff. Physicians are involved in a dual-job holding structure, working as agents in the official sector while they maximize profits in a fragmented private sector.

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  • Daniel Maceira, 1998. "Income Distribution and the Public-Private Mix in Health Care Provision: The Latin American Case," Research Department Publications 4154, Inter-American Development Bank, Research Department.
    • Handle: RePEc:idb:wpaper:4154
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    References listed on IDEAS

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    1. Thomas G. McGuire & Mark V. Pauly, 1991. "Physician Response to Fee Changes with Multiple Payers," Papers 0015, Boston University - Industry Studies Programme.
    2. Greenhut,Melvin L. & Norman,George & Hung,Chao-Shun, 1987. "The Economics of Imperfect Competition," Cambridge Books, Cambridge University Press, number 9780521315647, September.
    3. Daniel Maceira, 1996. "Fragmentación e incentivos en los sistemas de atención de la salud en América Latina y el Caribe," Research Department Publications 4049, Inter-American Development Bank, Research Department.
    4. Jaskold Gabszewicz, J. & Thisse, J. -F., 1979. "Price competition, quality and income disparities," Journal of Economic Theory, Elsevier, vol. 20(3), pages 340-359, June.
    5. Beath,John & Katsoulacos,Yannis, 1991. "The Economic Theory of Product Differentiation," Cambridge Books, Cambridge University Press, number 9780521335263, September.
    6. Maceira, Daniel, 1996. "Fragmentación e Incentivos en los Sistemas de Atención de la Salud en América Latina y el Caribe," IDB Publications (Working Papers) 6215, Inter-American Development Bank.
    7. Choi, Chong Ju & Shin, Hyun Song, 1992. "A Comment on a Model of Vertical Product Differentiation," Journal of Industrial Economics, Wiley Blackwell, vol. 40(2), pages 229-231, June.
    8. Dranove, David, 1988. "Demand Inducement and the Physician/Patient Relationship," Economic Inquiry, Western Economic Association International, vol. 26(2), pages 281-298, April.
    9. Greenhut,Melvin L. & Norman,George & Hung,Chao-Shun, 1987. "The Economics of Imperfect Competition," Cambridge Books, Cambridge University Press, number 9780521305525, September.
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