The Role of Task Adhesion in Limiting Specialization Along the Medical Care Continuum

21 Pages Posted: 1 Mar 2011

See all articles by Guy David

Guy David

The Wharton School, University of Pennsylvania - Health Care Management

Lorens A. Helmchen

The George Washington University

Date Written: February 20, 2011

Abstract

Increasing specialization has become a dominant feature of modern medicine. We develop a model of specialization when vertical restraints prevent transfers between physicians but task adhesion makes payment for one task contingent on carrying out another. We show how the probability of transitioning between tasks and relative payments for adjacent tasks determine the division of labor in the presence of task adhesion, and why skill complementarities may not be necessary to inhibit specialization. These results imply that a regulator who sets prices without considering the disincentives to specialize inherent in the demand complementarities described here may fail to maximize welfare.

Suggested Citation

David, Guy and Helmchen, Lorens A., The Role of Task Adhesion in Limiting Specialization Along the Medical Care Continuum (February 20, 2011). Labour, Vol. 25, No. 1, pp. 24-44, 2011, Available at SSRN: https://ssrn.com/abstract=1773227 or http://dx.doi.org/10.1111/j.1467-9914.2010.00484.x

Guy David (Contact Author)

The Wharton School, University of Pennsylvania - Health Care Management ( email )

3641 Locust Walk
Colonial Penn Center
Philadelphia, PA 19104-6358
United States

HOME PAGE: http://www.wharton.upenn.edu/faculty/david.html

Lorens A. Helmchen

The George Washington University ( email )

950 New Hampshire Ave NW
Washington, DC 20052
United States
2029943816 (Phone)
2029943816 (Fax)

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