Market Competition Benefits from Price Regulation

January 20, 2022

In a new publication in the journal Health Affairs, authors Robert A. Berenson and Robert B. Murray make the case that healthcare price regulation is needed to promote competition within providers and insurers. The authors argue that by regulating prices, more providers and insurers can enter the marketplace by competing on non-price factors.

According to the latest Considering Health Spending newsletter by Health Affairs, “The heart of their argument is that – contrary to the conventional wisdom – market competition and price regulation are not mutually exclusive. They cite European countries that use price regulation to support competition over care delivery components and operational efficiency.”

Read the article by clicking here.

(Source: Health Affairs, January 11th, 2022)

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