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Optimal Rationing within a Heterogeneous Population

Philippe Choné and Stephane Gauthier

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Abstract: A government agency delegates to a provider (hospital, medical gatekeeper, school, social worker) the decision to supply a service or treatment to individual recipients. The agency does not perfectly know the distribution of individual treatment costs in the population. The single-crossing property is not satisfied when the uncertainty pertains to the dispersion of the distribution. We find that the provision of service should then be distorted upwards relative to efficiency when the (first-best) efficient number of recipients is sufficiently high.

Keywords: Rationing; screening; universal coverage; upward distortion; Spence-Mirrlees condition; Rationnement; sélection; couverture universelle; distorsion à la hausse; condition de Spence-Mirrlees (search for similar items in EconPapers)
Date: 2014-01
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00983063v1
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Published in 2014

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Related works:
Journal Article: Optimal rationing within a heterogeneous population (2017) Downloads
Working Paper: Optimal Rationing within a Heterogeneous Population (2017) Downloads
Working Paper: Optimal Rationing within a Heterogeneous Population (2017) Downloads
Working Paper: Optimal Rationing within a Heterogeneous Population (2017) Downloads
Working Paper: Optimal Rationing within a Heterogeneous Population (2014) Downloads
Working Paper: Optimal Rationing within a Heterogenous Population (2014) Downloads
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