Federal Trade Commission
Protecting America's Consumers
In health care, market entry is influenced by a number of factors, including the necessity of meeting state regulatory requirements such as licensure and certificate of need. Professional associations and individual providers have used a variety of strategies to limit entry by potential competitors and prevent unbundling and de-skilling of the services that they provide. Thus, in many states, there are significant limitations on market entry by new competitors, and opposition to the efforts of existing competitors to expand the range of services they provide. What does the empirical evidence indicate about the cost, quality, and availability of services provided by nurse-midwives, nurse-anesthetists, dental hygienists, physician-assistants, pharmacists, optometrists, physical therapists, and other professionals and para-professionals? What regulatory and non-regulatory strategies have been employed to restrict independent practice or broadened clinical autonomy by these providers? What reasons have been advanced to justify such restrictions on entry? Do the regulatory strategies that have been employed reflect the least restrictive means of accomplishing the intended objectives? What consumer information and protection issues would be raised by a less-restrictive environment for market entry?
How do Noerr Pennington and the state action doctrines affect competition law and policy? Are there specific anti-competitive practices that current enforcement efforts have not addressed because of the Noerr Pennington or state action doctrines, including but not limited to abuses of state licensure, certificate of need and other regulatory and petitioning processes? Does competition law and policy impede providers from jointly discussing their concerns with government payors? What are the appropriate boundaries for these doctrines given the competing interests at stake? Are antitrust enforcement efforts appropriately targeted in light of the impact of the Noerr Pennington and state action doctrines?
Panelists:
An increasing number of elderly Americans spend time in long term care or an assisted living facility. What is the nature of the information that is disclosed to such consumers about the cost and quality of the services they will receive? Is the type and amount of the information that these facilities provide concerning quality adequate to allow consumers to make well-informed purchasing decisions? If not, what additional information do consumers need or want to make such decisions and why are these facilities not already providing it in the marketplace? Does the quantity and quality of the information that consumers would find helpful vary? What is the state of the art with regard to measures of nursing home and assisted living facility quality, whether structure, process, or outcome? What are the risks of relying on (and disclosing) process-based measures of quality? How would competition on quality measures affect costs, prices, and decisions by payors and customers? How does compensation affect quality? Can compensation be harnessed to enhance the performance of nursing homes and assisted living facilities?
Panelists:
For the non-elderly, health care is financed through voluntary insurance contracts. Employment-based health insurance covers the majority of non-elderly insured Americans. How effectively do employers reflect the preferences of their employees in designing and implementing health insurance coverage? What distortions result from making employers the nexus of health insurance? Are there off-setting advantages associated with having employers involved in the health insurance market? What changes have there been in the structure of employment-based health insurance in recent years? What information is disclosed to employees in connection with obtaining health insurance? How does employment-based health insurance differ from insurance available in the individual market? Health insurance is aggressively regulated by the states, with more limited regulation by the federal government. What are the effects of this regulation on the cost and content of the health insurance products available in the marketplace? Does such regulation correct for specific failures in the market for health insurance coverage? Has the emergence of new forms of health insurance coverage (i.e., point-ofservice options, consumer-driven health insurance, and medical savings accounts) had an effect on the health insurance market and the regulatory environment?
Panelists:
To what extent do consumers use quality information in making choices among health care financing arrangements and among health care providers? What information regarding quality is available to consumers? How accurate is this information? Does the quantity and quality of the available information depend on the nature of the underlying condition (i.e., acute v. chronic) and treatment (i.e., surgical v. medical; curative v. palliative; elective v. necessary)? What effects does this information have on the behavior of health care providers? What quality information do health care providers disseminate through advertising? What characteristics distinguish health care providers who provide quality information through advertising from those who do not? Do health care providers who advertise quality differ from those who advertise price or other attributes of their services? What percentage of health care providers engage in any advertising? What role does comparative advertising (including scorecards) play in competition among health care providers? What role does comparative advertising concerning access to specialists or specialized services play in competition among health care financing options? Do governmental or professional restrictions limit the advertising of health care goods and services based on quality? What are the effects of these restrictions on competition in markets for health care goods and services? What are the pro-competitive justifications for such restrictions? What empirical evidence supports these justifications?
Panelists: