Unbiased Analysis of Today's Healthcare Issues
Much of my blog discusses the value of new, innovative treatments. In the current patent environment, drug patents expire and low cost generics enter the market. This results in huge surplus value accruing to consumers. However, those benefits only occur if the supply of effective, low-cost generic medication reach patients. Unfortunately, that is not always…
Many recent healthcare policies aim to consolidate the provision of medical services. For instance, Accountable Care Organizations consolidate providers with the goal of providing seamless, integrated patient care. Consolidation can increase efficiency and (potentially) drive down prices. If a market is highly concentrated, however, problems in a single supplier can lead to shortages. Consider the…
Currently, physicians are the dominant force in determining how health care is provided in the United States today. Nurses, however, also play a vital role in the provision of health care services. Although there are about 660,000 physicians in the U.S., there are 2.6 million registered nurses and another 750,000 LPNs. Leveraging the skills of…
In the news, you often hear that there are shortages of nurses and physicians. We need more nurses and physicians, right? According to an editorial by Laurence Baker in Health Services Review, we should be a little skeptical of calls for more and more healthcare providers. If supplier-induced demand is a problem, more providers will…