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Competition effects from patient mobility in the European Union
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Resumo(s)
This paper studies the effects of reimbursement for medical tourism within the European
Union. We use a spatial competition framework to study the effects on prices, qualities
and patient flows between two countries. Patient mobility increases with the implementation
of reimbursement mechanisms. The resulting equilibria in prices and qualities
depend on the rule of reimbursements and possible differences in country specific parameters.
Soft budget constraints that public providers may have, pose a competitive advantage
over private providers and divert demand toward the former. Supranational coordination
concerning soft budgets constraints is needed to address the potentially detrimental effects
on aggregate welfar
Descrição
Palavras-chave
Cross-border directive Soft budgets Patient mobility Quality competition