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An equilibrium search model of the French dual market for medical services

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Abstract

The French market for specialist physician care has a dual structure, including a sector 1 with regulated fees, and a sector 2 where physicians can freely choose fees. Patients who undergo a sequential search process for the best medical o¤er develop a reservation fee decision rule. We analyzed physicians’ decisions to work in sector 1 or in sector 2, and their choice of fee in sector 2. The model features several pure strategy equilibria that can be ordered with respect to patient welfare. Policy implications follow.
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Dates and versions

hal-01574648 , version 1 (16-08-2017)

Identifiers

  • HAL Id : hal-01574648 , version 1

Cite

Damien Besancenot, Radu Vranceanu. An equilibrium search model of the French dual market for medical services. 2017. ⟨hal-01574648⟩
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