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Time prices and the demand for GP services.

R Janssen1

  • 1Department of Health Economics, University of Limburg, Maastricht, The Netherlands.

Social Science & Medicine (1982)
|April 1, 1992
PubMed
Summary
This summary is machine-generated.

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Time prices significantly impact patient demand for general practitioner (GP) services, especially when patients initiate visits. Physician-initiated visits are unaffected, highlighting the importance of considering time costs in healthcare demand models.

Area of Science:

  • Health Economics
  • Healthcare Management
  • Public Health

Background:

  • Understanding factors influencing healthcare service demand is crucial for resource allocation and policy development.
  • The economic value of time, or 'time price,' is an important but often overlooked determinant of service utilization.
  • General Practitioner (GP) services represent a primary point of contact in many healthcare systems.

Purpose of the Study:

  • To analyze the effect of time prices on the demand for general practitioner (GP) services.
  • To differentiate the impact of time prices on patient-initiated versus physician-initiated visits.
  • To assess the implications of time prices for healthcare demand modeling and policy.

Main Methods:

  • Imputation of time value where direct earnings data were unavailable.

Related Experiment Videos

  • Estimation of separate elasticities using interactive dummy variables for employment status.
  • Distinction between patient-initiated and physician-initiated GP visits.

    • Main Results:

    • The time required for a visit negatively influences the probability of patient-initiated GP visits for most employment categories.
    • A calculated 'time price' significantly reduces the likelihood of a patient-initiated GP visit.
    • Neither time nor time prices affect the probability of physician-initiated GP visits.

    Conclusions:

    • Time prices are a relevant factor in determining demand for GP services, particularly for patient-driven decisions.
    • Ignoring time prices can lead to mis-specified demand equations, biased statistical results, and flawed policy assessments.
    • Accurate modeling of healthcare demand requires incorporating the economic value of patient time.