A game theoretic model of the relationship between prices and waiting times.

ISSUE The role of prices charged to patients as a policy instrument for altering waiting times. METHOD A game theoretic model is used to examine the determinants of waiting times. RESULTS Under certain circumstances an increase in the price charged to patients at some institutions will lower the waiting times at all institutions. CONCLUSIONS The results provide a set of policy implications and testable predictions that arise under a certain set of assumptions. Alternative assumptions as well as the policy implications and testable predictions associated with them are also examined.

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