Skip to Main content Skip to Navigation
Journal articles

Dealing with Demand Heterogeneity on Health Care Provider Choice –The Case of Rural China

Abstract : We built a database of two samples of patients surveyed within the same regions in rural China over a time interval of 18 years, and presumed varying demand heterogeneity due to income increase and people aging. We find that while the mean price and distance negative effects on patients choice were present in both time periods, their differences in heterogeneity, which were confirmed with the mixed multinomial logit (MMNL), could have crucial importance in avoiding erroneous policy making based merely on mean price and distance effects. We also find that while both the multinomial logit (MNL) and the MMNL are able to predict price and distance effects with low heterogeneity, only the MMNL appears able to detect the price effect when heterogeneity is high. These findings suggest using caution when interpreting estimation results with the MNL in cases of high heterogeneity.
Document type :
Journal articles
Complete list of metadata

Cited literature [20 references]  Display  Hide  Download
Contributor : Martine Audibert Connect in order to contact the contributor
Submitted on : Sunday, October 11, 2020 - 4:16:39 PM
Last modification on : Tuesday, February 23, 2021 - 9:40:02 AM
Long-term archiving on: : Tuesday, January 12, 2021 - 7:04:25 PM


Publisher files allowed on an open archive




Martine Audibert, Yong He, Jacky Mathonnat. Dealing with Demand Heterogeneity on Health Care Provider Choice –The Case of Rural China. Asian Journal of Economics and Empirical Research, 2020, 7, pp.258 - 267. ⟨10.20448/journal.501.2020.72.258.267⟩. ⟨halshs-02963761⟩



Record views


Files downloads