0
We're unable to sign you in at this time. Please try again in a few minutes.
Retry
We were able to sign you in, but your subscription(s) could not be found. Please try again in a few minutes.
Retry
There may be a problem with your account. Please contact the AMA Service Center to resolve this issue.
Contact the AMA Service Center:
Telephone: 1 (800) 262-2350 or 1 (312) 670-7827  *   Email: subscriptions@jamanetwork.com
Error Message ......
ARTICLE |

Competition and the Cost of Hospital Care

Charles D. Weller, JD
JAMA. 1987;258(15):2064-2065. doi:10.1001/jama.1987.03400150056022.
Text Size: A A A
Published online

To the Editor.—  The widely reported finding that hospital costs were "substantially higher" in "more competitive markets" discussed in a June 19, 1987, JAMA article by Robinson and Luft1 is seriously flawed and flatly erroneous for reasons incisively pointed out by a physician nearly a decade ago.Robinson and Luft's basic error is fundamental: in effect, they turn competitive analysis of health care on its head by labeling as "competitive" what has long been known to make hospital markets noncompetitive under elementary economic theory—a virtual absence of price competition. Robinson and Luft conclude that "the identification of the important cost-increasing effect of nonprice competition among hospitals suggests that a degree of caution be exercised in predicting costreducing effects of recent 'marketoriented' policy initiatives."The exact opposite is true. It was the very preponderance of nonprice competition in health care markets that led the principal architects of marketoriented policies

Topics

Sign in

Create a free personal account to sign up for alerts, share articles, and more.

Purchase Options

• Buy this article
• Subscribe to the journal

First Page Preview

View Large
First page PDF preview

Figures

Tables

References

CME
Also Meets CME requirements for:
Browse CME for all U.S. States
Accreditation Information
The American Medical Association is accredited by the Accreditation Council for Continuing Medical Education to provide continuing medical education for physicians. The AMA designates this journal-based CME activity for a maximum of 1 AMA PRA Category 1 CreditTM per course. Physicians should claim only the credit commensurate with the extent of their participation in the activity. Physicians who complete the CME course and score at least 80% correct on the quiz are eligible for AMA PRA Category 1 CreditTM.
Note: You must get at least of the answers correct to pass this quiz.
Your answers have been saved for later.
You have not filled in all the answers to complete this quiz
The following questions were not answered:
Sorry, you have unsuccessfully completed this CME quiz with a score of
The following questions were not answered correctly:
Commitment to Change (optional):
Indicate what change(s) you will implement in your practice, if any, based on this CME course.
Your quiz results:
The filled radio buttons indicate your responses. The preferred responses are highlighted
For CME Course: A Proposed Model for Initial Assessment and Management of Acute Heart Failure Syndromes
Indicate what changes(s) you will implement in your practice, if any, based on this CME course.

Multimedia

Some tools below are only available to our subscribers or users with an online account.

Sign in

Create a free personal account to sign up for alerts, share articles, and more.

Purchase Options

• Buy this article
• Subscribe to the journal

Related Content

Customize your page view by dragging & repositioning the boxes below.

Jobs
brightcove.createExperiences();