Graduate Program in Health Policy & Administration
Graduate Program in Health Administration & Policy (GPHAP)
Research Assistant/Internship Description
|Date: 9/18/13 |
|Name of Project: |
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|How Does Technological Change in Health Care Change Quality-Adjusted Prices? A Systematic Analysis |
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|The research examines the introductions of over 3500 new health care innovations and measures the impact such technological change |
|has on the price and quality of care. |
|Faculty/Mentor Contact Information |
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|Name,Title, Department/School: |
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|Tomas Philipson |
|Daniel Levin Professor of Public Policy |
|Irving B. Harris Graduate School of Public Policy Studies |
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|Email: |
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|t-philipson@uchicago.edu |
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|Phone: |
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|773.702.8400 |
|Project Description |
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|Please describe the overall project, why it is important, and briefly describe the student’s role in the project. |
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|Medical innovation or technological change has been argued to be a primary source of expansions of many of the world’s growing |
|health care sectors. However, systematic theoretical and empirical analysis of the impact of technological change on the cost and |
|quality of health care is scarce. This research first provides a theoretical analysis which derives the factors that drive changes |
|in quality-adjusted prices for next generation health care innovations. We stress the importance of “health complementarities” in |
|explaining rising quality-adjusted prices in health care, despite that such quality-adjusted prices fall over time in many other |
|industries. The research then empirically examines the introductions of over 3500 new health care innovations and measures the |
|impact such technological change has on the price and quality of care. Our main finding is that next generation medical innovations|
|raise quality-adjusted prices of health care significantly. Specifically, the average new innovation raises quality by 23 percent |
|and raises price by about 132 percent. Consistent with the finding that price increases more than quality we find next generation |
|technologies raise quality-adjusted prices on average by 222 percent, with about two quarters of new technologies increasing such |
|adjusted prices. We test and find support for such changes in quality adjusted prices to be consistent with the theoretical |
|analysis. |
|The students responsibilities are to understand and analyze the dataset of new health care innovations. |
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|Project Location (please note where the RA/Intern will be working): There is no project location, the RA/Intern can work wherever |
|they wish. |
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|Project Timelines |
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|Desired Start Date: September 30, 2013 |
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|Hours Per Week: 10 hours per week |
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|Total Hours: 100 hours |
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|Responsibilities and Qualifications |
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|Research Assistant Responsibilities: Previous data experience using Excel and Stata is helpful. RA will use CEAR dataset that can |
|be viewed in Excel or Stata. |
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|RA Qualifications: Previous data experience using Excel and Stata is helpful. |
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