t’s my understanding that vertical integration is the norm in the US, though
Not really, corporations including insurance and private equity are increasingly buying up physician owned private practices, but that’s only estimated to be like 30% atm.
They generally don’t buy into actual hospital networks because they aren’t exactly the biggest money makers in the market. Most states mandate hospitals have some kind of emergency clinic, which are basically huge money sinks.
value chain the money winds up, because it’s still in house at the end of the day. And they certainly aren’t going to fight the other parts of the conglomerate to get a better deal for patients, with the result being that there are no longer incentives (from competition)
Eh, I think this is kinda a rudimentary understanding of healthcare cost. There’s not actually a lot of profit to be extracted from the vast majority of the healthcare system. It’s nearly entirely done by private healthcare insurances relying on the fact that they offload customers with high expenses to socialized networks asap.
US spending almost 20% of GDP on healthcare.
This is mainly because healthcare is a natural monopoly and we lack universal coverage. The rise in healthcare costs is mostly caused because uninsured patients drive up the cost of care for everyone when there only option is emergent care.
Not really, corporations including insurance and private equity are increasingly buying up physician owned private practices, but that’s only estimated to be like 30% atm.
They generally don’t buy into actual hospital networks because they aren’t exactly the biggest money makers in the market. Most states mandate hospitals have some kind of emergency clinic, which are basically huge money sinks.
Eh, I think this is kinda a rudimentary understanding of healthcare cost. There’s not actually a lot of profit to be extracted from the vast majority of the healthcare system. It’s nearly entirely done by private healthcare insurances relying on the fact that they offload customers with high expenses to socialized networks asap.
This is mainly because healthcare is a natural monopoly and we lack universal coverage. The rise in healthcare costs is mostly caused because uninsured patients drive up the cost of care for everyone when there only option is emergent care.