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Competition between Public and Private Maternity Care Providers in France: Evidence on Market Segmentation

hal.structure.identifierLaboratoire d'Economie de Dauphine [LEDa]
hal.structure.identifierParis Jourdan Sciences Economiques [PJSE]
dc.contributor.authorHerrera Araujo, Daniel
hal.structure.identifierCentre d'économie de la Sorbonne [CES]
hal.structure.identifierParis Jourdan Sciences Economiques [PJSE]
dc.contributor.authorRochaix, Lise
dc.date.accessioned2021-09-23T13:54:14Z
dc.date.available2021-09-23T13:54:14Z
dc.date.issued2020
dc.identifier.issn1661-7827
dc.identifier.urihttps://basepub.dauphine.psl.eu/handle/123456789/21821
dc.language.isoenen
dc.subjectMaternity unitsen
dc.subjectQuality differentiationen
dc.subjectSubstitutionen
dc.subjectMarket segmentationen
dc.subjectPublic-private mixen
dc.subject.ddc334en
dc.subject.classificationjelI11en
dc.titleCompetition between Public and Private Maternity Care Providers in France: Evidence on Market Segmentationen
dc.typeArticle accepté pour publication ou publié
dc.description.abstractenThe purpose of this paper is to investigate the potential for segmentation in hospital markets, using the French case where private for-profit providers play an important role having nearly 25% of market shares, and where prices are regulated, leading to quality competition. Using a stylized economic model of hospital competition, we investigate the potential for displacement between vertically differentiated public and private providers, focusing on maternity units where user choice is central. Building over the model, we test the following three hypotheses. First, the number of public maternity units is likely to be much larger in less populated departments than in more populated ones. Second, as the number of public maternity units decreases, the profitability constraint should allow more private players into the market. Third, private units are closer substitutes to other private units than to public units. Building an exhaustive and nationwide data set on the activity of maternity services linked to detailed data at a hospital level, we use an event study framework, which exploits two sources of variation: (1) The variation over time in the number of maternity units and (2) the variation in users’ choices. We find support for our hypotheses, indicating that segmentation is at work in these markets with asymmetrical effects between public and private sectors that need to be accounted for when deciding on public market entry or exit.en
dc.relation.isversionofjnlnameInternational Journal of Environmental Research and Public Health
dc.relation.isversionofjnlvol17en
dc.relation.isversionofjnlissue21en
dc.relation.isversionofjnldate2020
dc.relation.isversionofjnlpages7846en
dc.relation.isversionofdoi10.3390/ijerph17217846en
dc.relation.isversionofjnlpublisherMDPIen
dc.subject.ddclabelEconomie socialeen
dc.relation.forthcomingnonen
dc.description.ssrncandidatenon
dc.description.halcandidateouien
dc.description.readershiprechercheen
dc.description.audienceInternationalen
dc.relation.Isversionofjnlpeerreviewedouien
dc.date.updated2021-09-07T08:01:52Z
hal.identifierhal-03352905
hal.version1
dc.subject.classificationjelHALI.I1.I11en
hal.date.transferred2021-09-23T13:54:16Z
hal.author.functionaut
hal.author.functionaut


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