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Forthcoming in Health Economics…

Posted Jan 22 2009 4:03pm

Today, my paper titled “ Operating on commission: How physician financial incentives affect surgery rates ” was accepted for publication in the journal Health Economics.   A summary of the paper’s findings is below.

This paper employs a nationally representative, household-based dataset in order to test how the compensation method of both specialists and primary care providers affects surgery rates. After controlling for adverse selection, I find that when specialists are paid through a fee-for-system scheme rather than on a capitation basis, surgery rates increase 78%. The impact of primary care physician compensation on surgery rates depends on whether or not referral restrictions are present.

You can read the full text of a working paper version here.  Other research by Jason Shafrin can be found at JasonShafrin.com.

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