Not-for-Profit Hospitals and the Quality of Medical Care

Kazuhiko Mikami

Journal of Institutional and Theoretical Economics (JITE), 2013, vol. 169, issue 3, 490-505

Abstract: It has been argued in the literature that limiting the profits of hospitals can be an effective method of maintaining the quality of medical care. The present paper examines this hypothesis using a simple formal model of the health-care market under asymmetric information. It is shown that, in some situations, the quality of medical care can be secured by imposing a limited-distribution constraint on hospitals.

JEL-codes: I11 L31 (search for similar items in EconPapers)
Date: 2013
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DOI: 10.1628/093245613X13626680790487

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