• AcademyHealth: Cost cutting and the economic downturn

    It’s conventional wisdom that during the economic downturn people cut back on spending on health care. That’s a demand-side story for the recent, slower growth in health care spending. But there is also a less widely recognized supply-side story, which I explain in a new AcademyHealth blog post.

    @afrakt

     

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    • Are the cutbacks in hospital spending on equipment and expansion related to the consolidation in the industry? I suspect so, but I’ll leave it to experts like Frakt to prove causation.

      • @RobertAylward,
        Interesting point. If true, maybe the fears about consolidation resulting in cost increases (or more accurately, price increases) are overstated?