Economics

This channel highlights factors that impact hospital and healthcare economics and revenue. This includes news on healthcare policies, reimbursement, marketing, business plans, mergers and acquisitions, supply chain, salaries, staffing, and the implementation of a cost-effective environment for patients and providers.

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MGMA17: Pros and cons of selling a practice to private equity

Private investors are becoming increasingly active in healthcare acquisitions, which may maximize the purchase price when practices decide to sell, but there are downsides to these transactions compared to be absorbed into a hospital or health system.

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Q&A: What could a ‘new direction’ mean for CMMI’s payment reforms?

The new administration at CMS and HHS has signaled it wants to take a different path on value-based care models. Some have been clear actions, like ending mandatory bundled payment models in cardiac care. The next step may be more driven by stakeholders, as CMS recently released a request for information (RFI) asking what new models developed by the Centers for Medicare and Medicaid Innovation (CMMI) should look like.

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VR tours of ORs reduce anxiety in pediatric patients

Providing pediatric patients with a virtual reality (VR) tour of the operating room (OR) before receiving anesthesia could reduce preoperative anxiety, according to a study published in British Journal of Surgery.

ACO study from JAMA retracted due to errors in federal data

A June 2016 study published in JAMA Internal Medicine that found “modest savings on average” from accountable care organizations (ACOs) has been retracted and replaced after errors were discovered in the CMS data used by researchers.

1 in 5 Americans reports experiencing medical errors

Roughly 21 percent of adults in America have personally experienced medical errors, according to a national survey conducted by the IHI/NPSF Lucian Leape Institute and NORC at the University of Chicago.

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6 stats from JPMorgan Chase study of 2.3M families’ healthcare spending

The JPMorgan Chase Institute Healthcare Out-of-pocket Spending Panel (JPMCI HOSP) included 2.3 anonymized Chase customers from 18 to 64 years old between 2013 and 2016. The study examined trends in out-of-pocket healthcare spending in 23 of the 50 United States and their effects on household financial standings.

City and state of New York quarrel over NYC Health + Hospitals’ finances

Cuts to Medicaid Disproportionate Share Hospital (DSH) payments, a delay in state payments and lack of help from the city are all being blamed for the financial predicament of NYC Health + Hospitals, the largest public hospital system in the U.S.

Price transparency rules in Florida opposed by hospitals

Hospitals and ambulatory surgical centers (ASCs) in Florida would be required to provide information to patients about the potential costs of procedures under a proposed state regulation that the Florida Hospital Association (FHA) considers outside the state’s authority.

Around the web

Updated compensation data includes good news for multiple subspecialties. The new report also examines private equity's impact on employment models and how much male cardiologists earn compared to females.

When drugs are on the FDA’s shortage list, outsourcing facilities can produce their own compounded versions. When the FDA removed tirzepatide from that list with no warning, it created a considerable amount of chaos both behind the scenes and in pharmacies all over the country. 

If passed, this bill would help clinician-led clinical registries explore Medicare data for research purposes. The Society of Thoracic Surgeons and American College of Cardiology both shared public support for the bipartisan legislation. 

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