Bigger Hospitals Mean Higher Prices, Not Better Care

Bloomberg View
February 18, 2014
By Shannon Brownlee & Vikas Saini

Hospitals are busily merging with other hospitals and buying up groups of doctors. They claim that size brings efficiency and the opportunity to deliver more “value-based” care — and fewer unnecessary services. They argue that they have to get bigger to cut waste. What’s the evidence that bigger hospitals offer better value? Not a lot. If you think of value as some combination of needed services delivered for the right price, large hospitals are no better than small hospitals on both counts…

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