The Cost of healthcare

Explain whether you agree or disagree with the following comments: “It always puzzles me why the cost of healthcare is such a big issue.  Aren’t about 60% of our hospitals not-for-profit?  That means that about 60% of the healthcare needs out there are being satisfied free of charge through charitable organizations.”

Textbook Question 2.7 Describe the provider incentives under each of the following reimbursement methods:

a. Cost based

b. Charge based (including discounted charges)

c. Per procedure

d. Per diagnosis

e. Per diem

f. Bundled payment

g. Capitation

Textbook Question Question – 1.10

a. What is the primary goal of investor-owned corporations?

b. What is the primary goal of most not-for-profit healthcare corporations?

c. Are there substantial differences between the finance goals of investor-owned and not-for-profit corporations? Explain.

Reference

Louis Gapenski. (2016). Healthcare Finance: An Introduction to Accounting and Financial Management, Sixth Edition: Vol. Sixth edition. Health Administration Press.