NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Has Cost Containment Gone Too Far?

Victor R. Fuchs

NBER Working Paper No. 1776
Issued in December 1985
NBER Program(s):   HE

Current cost containment strategies will undoubtedly result in fewer health services for patients. The analytical framework presented in this paper shows how the effects of reductions in services on health and social welfare depend upon the amount and distribution of services(relative to potential benefit) prior to cost containment and on the size and selectivity of the reductions. Disagreement over whether cost containment has gone too far arises from disagreements about the criterion (health or social welfare), the prior distribution, and how selective the reductions will be. In the long run selectivity will be the key to successful cost containment.

download in pdf format
   (109 K)

download in djvu format
   (89 K)

email paper

The NBER Bulletin on Aging and Health provides summaries of publications like this.  You can sign up to receive the NBER Bulletin on Aging and Health by email.

This paper is available as PDF (109 K) or DjVu (89 K) (Download viewer) or via email.

Machine-readable bibliographic record - MARC, RIS, BibTeX

Published: Fuchs, Victor R. "Has Cost Containment Gone Too Far?" The Milbank Memorial Fund Quarterly/Health and Society, Vol. 64 No. 3, 1986, pp479-488.

 
Publications
Activities
Meetings
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us