Plausibly Exogenous [1086] - Multimarket Contact (01/21/2023)
LHS Variable
Health insurance prices and quality
RHS Variable
Multimarket contact (MMC)
Source of Exogenous Variation
Two plausibly exogenous changes to MMC: 1) out-of-market consolidations, which affect MMC but are not likely driven by local market heterogeneity; and 2) reimbursement policy changes in a subset of markets, which encourage additional entry and therefore affect MMC even in markets otherwise unaffected by the policy itself
- Lin and McCarthy (2019), “Multimarket Contact in Health Insurance: Evidence from Medicare Advantage”