Creat membership Creat membership
Sign in

Forgot password?

Confirm
  • Forgot password?
    Sign Up
  • Confirm
    Sign In
Creat membership Creat membership
Sign in

Forgot password?

Confirm
  • Forgot password?
    Sign Up
  • Confirm
    Sign In
Collection
For ¥0.57 per day, unlimited downloads CREATE MEMBERSHIP Download

toTop

If you have any feedback, Please follow the official account to submit feedback.

Turn on your phone and scan

home > search >

An experimental study on the effect of co-payment in public services

Author:
Aurora García-Gallego  Nikolaos Georgantzis  Tarek Jaber-López  Gianandrea Staffiero  


Journal:
Journal of Behavioral and Experimental Economics


Issue Date:
2016


Abstract(summary):

Highlights • We study the effect of a co-payment as an access fee for the use of a common resource. • In the no-fee baseline, extraction is inefficiently high. • When subjects have a no-fee past, the introduction of a co-payment does not mitigate extraction inefficiencies. • When co-payment is introduced from the beginning, extraction is significantly lower than in the no-fee baseline. Abstract This paper aims to shed light on the impacts of imposing co-payment on public services, a strategy increasingly employed in the realm of publicly provided healthcare. We analyze the effect of imposing a charge for the individual appropriation of common resources. In our design, withdrawing the maximum amount is the dominant strategy for every player, but the resulting equilibrium is socially inefficient. We find that the presence of a price that is small enough to leave intact the conflict between individual incentives and collective welfare is not effective in reducing appropriation among agents who have previously been acting without it. In fact, the upward trend in the average extraction of common funds continues after the introduction of a price. In an alternative treatment in which we impose copayment from the outset of the experiment, withdrawals are lower than in the free-access baseline. Our results provide insights on the conditions for the effectiveness of co-payment in curbing the over-consumption of public resources.


Page:
109-109


VIEW PDF

The preview is over

If you wish to continue, please create your membership or download this.

Create Membership

Similar Literature

Submit Feedback

This function is a member function, members do not limit the number of downloads