Waiting times and demand for dental care
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School of Business |
Master's thesis
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en
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40
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Abstract
In health care systems with public provision, waiting times are often used as a rationing mechanism comparable to prices. However, waiting can negatively impact patient satisfaction and potentially worsen health outcomes. I study the effects of waiting times and prices on demand in the context of dental care in Finland, where a dual provision system is in place. I construct a rich individual-level data set on visit data from both sectors and combine it with administrative data on consumer demographics. I employ a structural model and estimate the responsiveness of consumer demand with respect to waiting times and price. I find that demand is elastic both in waiting time and price. Waiting times achieve their purpose of restricting demand, but consumers perceive waiting costly. Policy should aim to reduce waiting times to reduce the costs borne by consumers.Description
Thesis advisor
Toivanen, OttoSaxell, Tanja