Specialization, Option Demand, and the Pricing of Medical Specialists

David Dranove and William D. White

Journal of Economics & Management Strategy, 1996, vol. 5, issue 2, 277-306

Abstract: This paper discusses the supplier power of medical specialists. We argue that a combination of factors, including the structure of health care delivery, reimbursement systems, the presence of option demand, and high consumer switching costs, create circumstances in which medical specialists may be able to exercise significant seller power. We explore the implications of this for the pricing and organization of medical care.

Date: 1996
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https://doi.org/10.1111/j.1430-9134.1996.00277.x

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Persistent link: https://EconPapers.repec.org/RePEc:bla:jemstr:v:5:y:1996:i:2:p:277-306

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