Bing Center for Health Economics
Improving health and the efficiency of health care service delivery are among today's most vexing public policy problems. RAND economists have a long and distinguished history of applying innovative research methods to such problems. With the help of a generous donation from former RAND trustee Peter Bing, RAND created the Bing Center for Health Economics to continue and strengthen this tradition of innovative, high-profile research in health economics and health services research.
Recent News & Publications
A Comparison of the Health Systems in China and India — August 8, 2008
Although they have achieved substantial advances in life expectancy and disease prevention since the middle of the 20th century, the Chinese and Indian health systems provide little protection against financial risk, and patient satisfaction is a lower priority than it should be.
Economics research spurs rethinking of prevention programs and child development — May 17, 2008
The field of economics has played an increasingly prominent role in recent discussions about early childhood policy by providing cost- benefit analysis of early prevention programs and translating research findings into practical information.
Acupuncture is an economic substitute for some medical treatments — Mar 4, 2008
Acupuncture is an economic substitute for some medical services and pharmaceuticals, a finding of some importance to insurers, healthcare practitioners, and policy makers.Consumers Could Buy Yearly 'Drug Licenses' As New Way to Pay for Prescriptions — Jan. 21, 2008
Changing the way consumers pay for prescription drugs so that the system more closely resembles paying for cell phones or computer software could increase drug use without altering patients' out-of-pocket spending, health plan costs or drug company profits.Value-based health care approach may be cost-effective — December 14, 2007
Health care in the United States is possibly becoming more value-conscious. Literature suggests doing so could reduce spending by up to 30% without affecting healthcare.Postacute care changes and trends for Medicare beneficiaries — December 14, 2007
Medicare's method of payment influences the type and intensity of postacute care (PAC) that beneficiaries receive. This article discusses changes to PAC provider payment, trends in use of PAC, and policy implications.Prescription drug spending associated with reduction in Medicare spending — November 7, 2007
Medigap prescription drug coverage reduces Medicare Part B spending. The substitution effect decreases as income rises, and thus provides support for the low-income assistance program of Medicare Part D.Pharmacy Benefit Caps and the Chronically Ill — September 19, 2007
Some U.S. retirees are vulnerable to high drug spending and might drop the use of beneficial drugs if their benefits are capped.
News Release 
Read Article at Health Affairs
Related Publications
Prescription drug cost sharing related to reductions in pharmacy use
Increased prescription drug cost sharing results in lower rates of drug treatment, lower adherence rates among existing users, and more frequent discontinuation of therapy, as well as increased use of non-drug-related medical services in cases involving some chronic conditions.Read Abstract 
More health economics
Health Insurance Subsidies Won't Significantly Cut Number of Uninsured
Government subsidies that cut health insurance premium prices in half for people without insurance would reduce the number of uninsured Americans by just 3 percent.Prescription Drug Cost Sharing and Access
Increased cost sharing is highly correlated with reductions in pharmacy use, worse adherence among existing users, and more frequent discontinuation of therapy.Who decides risk-benefit balance?
This paper urges the health policy community to develop a more consistent way of thinking about when risk-benefit decisions should remain at the individual level, when they should be resolved by regulators, and when a hybrid approach involving individual and regulatory decisions is advisable.Read abstract Current health economics research
Commercial pay-for-performance incentives linked to quality improvement initiatives
A telephone survey of physician groups in Massachusetts indicates an association between pay-for-performance incentives and the use of quality improvement initiatives.Read abstract Current health economics research
Related Research:
Reactions from physicians on pay-for-performance measures as stimulant to quality of care
Lessons learned from health care reform effort in Massachusetts
Behavioral Health Parity: Consequences for Federal Employee Health Plans
M. Susan Ridgely, Howard H. Goldman, M. Audrey Burnam, Colleen L. Barry, Kevin D. Hennessy, Richard D. Frank, Haiden A. Huskamp, Sharon-Lise T. Normand, Alexander Young, Vanessa Azzone, Alisa B. Busch, Susan T. Azrin, Garrett Moran, Carolyn Lichtenstein, Margaret Blasinsky, RAND, 2007
The Effects of Multi-Hospital Systems on Hospital Prices
Melnick M, Keeler, E. Journal of Health Economics, 26(2): 400–413, March 2007.
Does Medicare Benefit the Poor?
Bhattacharya J, Lakdawalla D. Journal of Public Economics, 90(1-2): 277-292. January 2006.
HIV Breakthroughs and Risky Sexual Behavior
Lakdawalla D, Sood N, Goldman D. Quarterly Journal of Economics, 121(3): 1063-1102, August 2006.
Read abstract at the Quarterly Journal of Economics website
Nonprofit Production and Industry Performance
Lakdawalla D, Philipson T. Journal of Public Economics, 90:1681-1698. 2006.
The Link Between Public and Private Insurance and HIV Related Mortality
Bhattacharya J, Goldman D, Sood N. Journal of Health Economics, 22(6): 1105-1122, 2003.
The Rise in Old Age Longevity and the Market for Long-Term Care
Lakdawalla D, Philipson T. American Economic Review, 92(1): 295-306. March 2002.
The Changing Effects of Competition on Non-profit and For-Profit Hospital Pricing Behavior
Keeler E, Melnick G, Zwanziger J, J Health Economics, 18(1): 69-86, 1999.
A Model of the Impact of Reimbursement Schemes on Health Plan Choice
Keeler E, Carter G, Newhouse J. J Hlth Econ, (17) 297-320, 1998.
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