On Using Sample Selection Methods in Estimating the Price Elasticity of Firms' Demand for Insurance

M. Susan Marquis, Thomas A. Louis

ResearchPosted on rand.org 2002Published in: Journal of Health Economics, v. 21, no. 1, Jan. 2002, p. 137-145

The authors evaluate a technique based on sample selection models that has been used by health economists to estimate the price elasticity of firms' demand for insurance. The authors demonstrate that, this technique produces inflated estimates of the price elasticity. They show that alternative methods lead to valid estimates.

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Document Details

  • Copyright: Elsevier B.V
  • Availability: Non-RAND
  • Year: 2002
  • Pages: 9
  • Document Number: EP-200201-06

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