---
_id: '7630'
abstract:
- lang: eng
  text: In this paper, we analyze a credence goods model adjusted to the health care
    market with regulated prices and heterogeneous experts. Experts are physicians
    and are assumed to differ in their cost of treating a small problem. We investigate
    the effects of this heterogeneity on the physicians’ level of fraud and on the
    patients’ search for second opinions. We find that introducing a fraction of more
    efficient low-cost physicians always increases social welfare, but in some cases
    only because of the raised physicians’ surplus. When the low-cost physicians’
    cost advantage is small, imposing a share of low-cost physicians does not change
    the equilibrium fraud level. When the cost advantage is large, however, different
    changes in the fraud level occur depending on the share of generated low-cost
    physicians, the search rate and the initial level of fraud.
author:
- first_name: Joachim Maria Josef
  full_name: Heinzel, Joachim Maria Josef
  id: '53445'
  last_name: Heinzel
citation:
  ama: 'Heinzel JMJ. <i>Credence Goods Markets with Heterogeneous Experts</i>. Vol
    118. Paderborn University: CIE Working Paper Series; 2019.'
  apa: 'Heinzel, J. M. J. (2019). <i>Credence Goods Markets with Heterogeneous Experts</i>
    (Vol. 118). Paderborn University: CIE Working Paper Series.'
  bibtex: '@book{Heinzel_2019, place={Paderborn University}, series={CIE Working Paper
    Series}, title={Credence Goods Markets with Heterogeneous Experts}, volume={118},
    publisher={CIE Working Paper Series}, author={Heinzel, Joachim Maria Josef}, year={2019},
    collection={CIE Working Paper Series} }'
  chicago: 'Heinzel, Joachim Maria Josef. <i>Credence Goods Markets with Heterogeneous
    Experts</i>. Vol. 118. CIE Working Paper Series. Paderborn University: CIE Working
    Paper Series, 2019.'
  ieee: 'J. M. J. Heinzel, <i>Credence Goods Markets with Heterogeneous Experts</i>,
    vol. 118. Paderborn University: CIE Working Paper Series, 2019.'
  mla: Heinzel, Joachim Maria Josef. <i>Credence Goods Markets with Heterogeneous
    Experts</i>. Vol. 118, CIE Working Paper Series, 2019.
  short: J.M.J. Heinzel, Credence Goods Markets with Heterogeneous Experts, CIE Working
    Paper Series, Paderborn University, 2019.
date_created: 2019-02-12T08:18:02Z
date_updated: 2022-01-06T07:03:42Z
ddc:
- '330'
department:
- _id: '280'
- _id: '475'
file:
- access_level: closed
  content_type: application/pdf
  creator: jheinzel
  date_created: 2019-02-12T08:21:37Z
  date_updated: 2019-02-12T08:21:37Z
  file_id: '7631'
  file_name: WP118.pdf
  file_size: 286367
  relation: main_file
  success: 1
file_date_updated: 2019-02-12T08:21:37Z
has_accepted_license: '1'
intvolume: '       118'
jel:
- D82
- I11
- L15
keyword:
- credence goods
- treatment efficiency
- heterogeneous experts
- overcharging
language:
- iso: eng
place: Paderborn University
project:
- _id: '1'
  name: SFB 901
- _id: '2'
  name: SFB 901 - Project Area A
- _id: '7'
  name: SFB 901 - Subproject A3
publisher: CIE Working Paper Series
report_number: 2019-01
series_title: CIE Working Paper Series
status: public
title: Credence Goods Markets with Heterogeneous Experts
type: report
user_id: '477'
volume: 118
year: '2019'
...