@article {Dan:2004:0003-6846:511,
	author = "Dan Friesner and Robert Rosenman",
	title = "Non-profit cost-adjusting with quality as a private good",
	journal = "Applied Economics",
	volume = "36",
	number = "5",
	year = "2004",
	abstract = "Nonprofit firms that produce multiple outputs may lower service intensity for one patient group in response to lower reimbursements for another group. This is termed 'cost-adjusting' behaviour. Cost-adjusting implies a serious welfare transfer. The results of this analysis suggest that the potential for this welfare transfer exists; however, the ability of a firm to exploit this welfare transfer depends largely on the demand conditions present in the market. An empirical analysis finds evidence that nonprofit hospitals in Washington State do practise cost-adjusting.",
	pages = "511-523",
	url = "http://www.ingentaconnect.com/content/routledg/raef/2004/00000036/00000005/art00012",
	doi = "doi:10.1080/00036840410001682223"
}