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Pricing Innovation in Surgical Care Markets / Alice Chen, Seth M. Freedman, Elizabeth L. Munnich, Michael R. Richards.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Chen, Alice.
Contributor:
National Bureau of Economic Research.
Freedman, Seth M.
Munnich, Elizabeth L.
Richards, Michael R.
Series:
Working Paper Series (National Bureau of Economic Research) no. w32439.
NBER working paper series no. w32439
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2024.
Summary:
Technological innovation in medical services can improve health, but its ability to reach patients often depends on price signals for downstream providers, which can also be discordant across production inputs. We examine such a context when Medicare sharply revises facility fees--while holding physician fees constant--for advanced surgical care performed within certain outpatient settings. Industry-wide output for impacted cases increases via market expansion, and indirectly affected physicians devote more labor supply to these cases by sacrificing other outpatient and inpatient surgical volumes. Government price setting for healthcare facilities spills over onto physicians--impacting their technology utilization and time allocations.
Notes:
Print version record
May 2024.

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