The Dynamics of Disease in a Regulated Vertically Differentiated Health System

We build up a differential game to investigate the interplay between the quality of health care and the presence of an evolving disease in a duopoly where patients are heterogeneous along the income dimension. We prove unicity, stability and perfection of the open-loop Nash solution. Moreover, we identify the admissible parameter region wherein price regulation achieves the twofold objectives of ensuring cares to all patients and eradicating the disease.

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Year of publication:	2011
Authors:	Lambertini, Luca ; Tampieri, Alessandro
Publisher:	Bologna : Alma Mater Studiorum - Università di Bologna, Dipartimento di Scienze Economiche (DSE)

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Series:	Quaderni - Working Paper DSE ; 737
Type of publication:	Book / Working Paper
Type of publication (narrower categories):	Working Paper
Language:	English
Other identifiers:	10.6092/unibo/amsacta/4504 [DOI] 1001277759 [GVK] hdl:10419/159578 [Handle] RePEc:bol:bodewp:WP737 [RePEc]
Classification:	C73 - Stochastic and Dynamic Games ; H42 - Publicly Provided Private Goods ; I11 - Analysis of Health Care Markets ; I18 - Government Policy; Regulation; Public Health ; L13 - Oligopoly and Other Imperfect Markets
Source:	EconStor

Persistent link: https://www.econbiz.de/10011651631