Health Economics

Project: How Do Hospitals Respond to Price Changes?

Project Duration

05/2015 - 04/2017 (finalized)

Commissioned by

Fritz Thyssen Stiftung

Project Team (RWI)

Prof. Dr. Ansgar Wübker (Chief)


Prof. Martin Salm (Universität Tilburg)


The proposed research project aims to answer the following two research questions that address fundamental problems in health economics: 1) Do hospitals react to lower payments by inducing additional demand or up-coding diagnoses? and 2) What are the effects of changes in the generosity of hospital payments on quality of care? The proposed research will provide new insights into how to keep healthcare affordable. This theme plays an important role in the political debate in many countries, including Germany.

Selected project related publications

Discussion Papers


Salm, M. and A. Wübker (2015), Do Hospitals Respond to Increasing Prices by Supplying Fewer Services?. Ruhr Economic Papers #567. RWI. DOI: 10.4419/86788653 download