Regional Purchasing Groups and Hospital Medicine Prices: Evidence from Group Creations

Lea Toulemon

Health, Econometrics and Data Group (HEDG) Working Papers from HEDG, c/o Department of Economics, University of York

Abstract: This paper estimates the impact of group purchasing on medicine prices in French hospitals, taking advantage of the entry of hospitals into regional purchasing groups between 2009 and 2014. I use a new database providing the average annual prices paid for all innovative and costly medicines in public hospitals. Using a fixed effects model that controls for hospitals’ medicine-specific bargaining abilities and medicine-specific price trends, I find that group purchasing reduces prices of medicines in oligopoly markets, but has no impact on the prices of medicines with no competitors.

Keywords: hospital medicine prices; purchasing groups; bargaining ability (search for similar items in EconPapers)
JEL-codes: C23 I11 J52 J58 L13 L14 (search for similar items in EconPapers)
Date: 2017-08
New Economics Papers: this item is included in nep-com, nep-eur and nep-hea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.york.ac.uk/media/economics/documents/hedg/workingpapers/1721.pdf Main text (application/pdf)

Related works:
Working Paper: Regional Purchasing Groups and Hospital Medicine Prices: Evidence from Group Creations (2017)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:yor:hectdg:17/21

Access Statistics for this paper

More papers in Health, Econometrics and Data Group (HEDG) Working Papers from HEDG, c/o Department of Economics, University of York HEDG/HERC, Department of Economics and Related Studies, University of York, York, YO10 5DD, United Kingdom. Contact information at EDIRC.
Bibliographic data for series maintained by Jane Rawlings ().