Medical costs are thus lay due to a bargaining procedure ranging from medical facilities and you will arrangements (Ho 2009; Moriya, Vogt, and Gaynor 2010)

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Medical costs are thus lay due to a bargaining procedure ranging from medical facilities and you will arrangements (Ho 2009; Moriya, Vogt, and Gaynor 2010) That it huge difference features the fresh part away from “excludability” for the healthcare rates form. That is, hospitals in age functions was susceptible to exclusion away from individual payers' hiring companies. This is one supply of power to have fitness plans and you may pushes personal prices downward. Conversely, those individuals medical facilities one preparations think twice to exclude from their networks because regarding reputation or any other distinctive characteristic might possibly pull higher pricing regarding preparations. (more…)
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