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Strategic sorting : the role of ordeals in health care

Author: Richard Zeckhauser; National Bureau of Economic Research,
Publisher: Cambridge, Mass. : National Bureau of Economic Research, 2019.
Series: Working paper series (National Bureau of Economic Research), no. 26041.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Summary:
Ordeals are burdens placed on individuals that yield no direct benefits to others. They represent a dead-weight loss. Ordeals -- the most common being waiting time -- play a prominent role in health care. Their goal is to direct scarce resources to recipients receiving greater value from them, hence presumed to be more willing to bear an ordeal's burden. Ordeals are intended to prevent wasteful expenditures given  Read more...
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Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Richard Zeckhauser; National Bureau of Economic Research,
OCLC Number: 1107990911
Notes: "July 2019"
Description: 1 online resource (29 pages) : illustrations.
Series Title: Working paper series (National Bureau of Economic Research), no. 26041.
Responsibility: Richard J. Zeckhauser.

Abstract:

Ordeals are burdens placed on individuals that yield no direct benefits to others. They represent a dead-weight loss. Ordeals -- the most common being waiting time -- play a prominent role in health care. Their goal is to direct scarce resources to recipients receiving greater value from them, hence presumed to be more willing to bear an ordeal's burden. Ordeals are intended to prevent wasteful expenditures given that health care is heavily subsidized, yet avoid other forms of rationing, such as quotas or pricing. This analysis diagnoses the economic underpinnings of ordeals. Subsidies to nursing home versus home care illustrate.

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