Price Sensitivity of the Demand for Medical Services for Minor Ailments: Econometric Estimates Using Information on Illnesses and Symptoms

13 Pages Posted: 12 May 2003

See all articles by Masako Ii

Masako Ii

Yokohama National University - Department of Economics

Yasushi Ohkusa

Osaka University - Institute of Social and Economic Research (ISER)

Abstract

This paper examines the choice of health care for minor ailments in Japan. Acute and serious illnesses are excluded from the purview of the analysis; it is minor ailments, defined as illnesses that are not chronic or not serious, that constitute the focus of this paper. Empirical results show that, if the new medical insurance reform plan were to increase the coinsurance rate by 10% both for those insured and their dependants, national medical costs would be reduced by 158 billion yen, and the demand for over-the-counter (OTC) medicine would be increased by 15 billion yen in the case of minor ailments.

JEL Classification: I11, I12, I31

Suggested Citation

Ii, Masako and Ohkusa, Yasushi, Price Sensitivity of the Demand for Medical Services for Minor Ailments: Econometric Estimates Using Information on Illnesses and Symptoms. Available at SSRN: https://ssrn.com/abstract=324703

Masako Ii

Yokohama National University - Department of Economics

79-1, Tokiwadai
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Japan
81-45-335-1451 (Phone)

Yasushi Ohkusa (Contact Author)

Osaka University - Institute of Social and Economic Research (ISER) ( email )

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Ibaraki, Osaka 567-0047
Japan
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