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Becker's Hospital CFO:
Researchers use hospital prices to show need to 'combat market power'

15 December 2015

Hospitals that face fewer competitors have considerably higher prices, according to a new study from researchers at Carnegie Mellon University, Yale University, University of Pennsylvania and the London School of Economics. ... The study shows that hospitals with fewer competitors have substantially higher prices, beyond those that would be driven by quality or cost differences. According to the study, hospitals in monopoly markets have prices that are more than 15 percent higher than those in areas with four or more competitors.

This article was published online by Becker's Hospital CFO on December 15, 2015
Link to article here

Related publications
'The Price Ain't Right? Hospital Prices and Health Spending on the Privately Insured', Zack Cooper, Stuart Craig, Martin Gaynor and John Van Reenen, Centre for Economic Performance Discussion Paper No.1395, December 2015

Related links
Zack Cooper webpage
John Van Reenen webpage
Growth Programme webpage

Read more... Becker's Hospital CFO