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Contribution Details

Type Working Paper
Scope Discipline-based scholarship
Title Co-Payments for Prescription Drugs and the Demand for Doctor Visits - Evidence from a Natural Experiment
Organization Unit
Authors
  • Rainer Winkelmann
Language
  • English
Institution University of Zurich
Series Name Working paper series / Socioeconomic Institute
Number No. 307
Date 2003
Abstract Text The German health care reform of 1997 provides a natural experiment for evaluating the price sensitivity of demand for physicians’ services. As part of the reform, copayments for prescription drugs were increased by up to 200 percent. However, certain groups of people were exempted from the increase, providing a natural control group against which the changed demand for physicians’ services of the treated, those subject to increased co-payments, can be assessed. The differences-in-differences estimates indicate that increased co-payments reduced the number of doctor visits by about 10 percent on average.
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