This article investigates the choice of provider plan (fee for service and health maintenance
organizations) and preference for a personal physician by Medicare beneficiaries with the aid
of a joint logit (JL) and a nested logit (NL) model The NL model, where the lower level is the
choice pertaining to preference for a personal physician and the higher level is the choice of
provider plan, better explains consumer behavior. Family income levels and access to adequate
transportation capabilities are shown to be important criteria used by the elderly in choosing a
provider plan.
Get full access to this article
View all access options for this article.
References
1.
Anderson, R.1968. A behavioral model of families use of health services Research series no. 25. Chicago : University of Chicago, Center for Health Administration Studies.
2.
Bishop, J.J., and M. Montgomery.1986. Evidence on firm participation in employment subsidy programsIndustrial Relations25:56-64
3.
. Borch-Supan, A., and J. Pitkin.1988. On discrete choice models of housing demandJournal of Urban Economics24:153-72
4.
. Brown, R.A., K. Langwell, K. Berman, J.A. Uster, and B. Devany.1986. Report on enrollments and disenrollments from Medicare HMOsBaltimore, MD: Health Care Financing Administration.
5.
Carroll, C.A., L.V. Szumpano, and H.W. Elder.1988. Acquisitions of the 1980's: A multiple logit analysis of leveraged buy out candidatesReview of Business Economics Research24:20-30
6.
. Cremer, H., and H. Gathon.1987. Les determinants de la mobilite residentielle: une analyse probitCahiers Economiques de Bruxelles3:53-75
7.
. Davies, A.R., J.E. Ware, R.H. Brook, J.R. Peterson, and J.P. Newhouse.1986. Consumer acceptance of prepaid and fee for service medical care: Results of a randomized controlled trialHealth Services Research21:429-52.
8.
Dluhy, C.W., and C.E. Krebs.1987. Dade County, Florida: A needs assessment of the 60 and over population Southeast Florida Center on Aging Publication no. 305. Miami: Florida International University.
9.
Garfinkel, S.A., W.E. Schlenger, K.R. McLeroy, F.A. Byron, B.J.G. York, H. Duhtman, and A.S. Friedlob.1986. Choice of payment plan in the medicare capitation demonstrationMedical Care24:628-40
10.
. Long, S.H., R.F. Settle, and C.W. Wrightson.1988. Employee premiums, availability of alternative plans, and HMO disenrollmentMedical Care26:927-38
11.
. Longino, C.F.1983. A statistical profile of older FloridiansMetro Dade County, FL: Department of Health and Rehabilitative Services, Office of Comprehensive Health Planning.
12.
Luft, H.S.1981. Health maintenance organizations: Dimensions of performanceNew York: Wiley.
13.
Maddala, G.S.1983. Limited dependent and qualitative variables in econometricsCambridge: Cambridge University Press.
14.
McFadden, D., W. Tye, and K. Train.1977. An application of diagnostic tests for the irrelevant alternatives property of the multinomial logit modelTransportation Research Record637:39-46
15.
. Rossiter, L.F., K. Langwell, T.H. Wan, and M. Rivnyak.1989. Patient satisfaction among elderly enrollees and disenrollees in medicare health maintenance organizationsJournal of the American Medical Association262(1): 57-63.
