Increasing Price Transparency in the Dutch Health Care Market Does Not Affect Provider Choice

Working Paper: CEPR ID: DP15981

Authors: Maciej Husiatyski; Tobias Klein; Misja Mikkers

Abstract: Price transparency is often viewed as an effective way to encourage price shopping and thereby lower health care expenditure. Using individual claims data for 6 frequent, non-emergency dermatological procedures, we estimate the short-run effect of unexpected publication of prices by a major Dutch health insurer on spending and provider choice. Visits to the price transparency website surged, but spending, the likelihood to visit a new provider, distance traveled, and type of provider visited remained unaffected.

Keywords: price transparency; healthcare demand; provider choice

JEL Codes: I11; I13


Causal Claims Network Graph

Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.


Causal Claims

CauseEffect
Price transparency (D49)healthcare spending (H51)
Price transparency (D49)provider choice (D10)

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