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Ítem Contract choice and patient outcomes in Colombia s health(Universidad Icesi, 2015-01-01) Serna, Natalia; Carranza Romero, Juan Esteban; Asesor Tesis; Asesor TesisIn this paper we develop an empirical analysis in the health market that relates contracts to patient outcomes through the effort of the health service provider. Using panel data of a sample of enrollees and their claims in Colombia’s statutory health system, we show that users in capitation contracts are readmitted to the ER and to emergency medical consultations at lower rates than users in fee-for-service contracts and this result holds even after conditioning on specific patient and insurer profiles. We also find significant differences in the users’ annual cost but there are no differences in the users’ average length-of-stay.