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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Texas, CMS agree to extend Medicaid 1115 waiver through 2017

Waiver was set to expire in September after directing $17 billion in federal dollars and another $12 billion in local funding to hospitals and health providers in the state over the past five years.

Volume dips, value skyrockets for healthcare M&As in 2016

The healthcare industry has seen fewer mergers and acquisitions to start 2016, but those that have taken place are much larger in terms of value.

Aetna CEO calls exchanges ‘good investment,’ raises earnings forecast

Aetna's CEO says the insurer won’t lose money on its health insurance marketplace business this year.

Wyeth, Pfizer to pay $784M to settle Medicaid fraud claims

Pfizer and Wyeth have agreed to pay $784.6 million to resolve allegations of underpaying rebates to Medicaid.

Stronger together: The coupling up of the healthcare industry

It seems that everyone is pairing up these days. From Abbott reaching a deal to buy St. Jude Medical for $25 billion, Sanofi making an offer to Medivation for $9.3 billion and AbbVie signing a deal with Stemcnetrx for $5.8 billion.

Why bigger is better business for health care companies

Companies are increasingly viewing scaling up as the only way to stay competitive, according to the New York Times.

CMS: Prescription drug costs are growing problem

Drug prices rose 12 percent in 2015 and national spending on cancer and hepatitis drugs and other special medicines has doubled in the past five years.

Halamka offers initial response to MACRA proposed rule

The MACRA proposed rule is "an example of regulatory overambition," according to John Halamka, MD, CIO of Beth Israel Deaconess Medical Center in Boston.

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Around the web

Cardiovascular Business
FDA says years-long tirzepatide shortage is resolved, will give limited leeway to compounders

The tirzepatide shortage that first began in 2022 has been resolved. Drug companies distributing compounded versions of the popular drug now have two to three more months to distribute their remaining supply.

AI in Healthcare
From Capitol Hill to a hospital near you? 5 federal recommendations for healthcare AI policy

The 24 members of the House Task Force on AI—12 reps from each party—have posted a 253-page report detailing their bipartisan vision for encouraging innovation while minimizing risks. 

Cardiovascular Business
Merck spends up to $2B to license new weight loss drug with potential heart benefits

Merck sent Hansoh Pharma, a Chinese biopharmaceutical company, an upfront payment of $112 million to license a new investigational GLP-1 receptor agonist. There could be many more payments to come if certain milestones are met.