Health Plan Choice: Price Elasticities in a Managed Competition Setting
Anne Royalty () and
Journal of Human Resources, 1999, vol. 34, issue 1, 1-41
Using a unique panel dataset of health plan choices and personal characteristics of employees at a single firm, this paper provides estimates of price elasticities for health insurance plans in a managed competition setting. Estimated price elasticities are larger in absolute value than most previous estimates and the magnitude of the price elasticity suggests that there is a place for price competition in this market. We also find evidence of transition costs in switching health plans for older and less healthy employees. Such differential responses to price may contribute to adverse selection in this market.
References: Add references at CitEc
Citations: View citations in EconPapers (99) Track citations by RSS feed
Downloads: (external link)
A subscripton is required to access pdf files. Pay per article is available.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:uwp:jhriss:v:34:y:1999:i:1:p:1-41
Access Statistics for this article
More articles in Journal of Human Resources from University of Wisconsin Press
Bibliographic data for series maintained by ().