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Health Facilities and Finance

Health Facilities and Finance

hospital

CON: FINANCING HEALTH

The need for price "transparency" or disclosure has emerged as one of the hot topics in the area of consumer directed health care.  Such policies and programs also are a part of health cost containment and efficiencies efforts.   Both states and the federal government, as well as the private sector, have initiated programs and enacted some legal requirements, especially in the past seven years.

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OVERVIEW

America’s hospitals treat more than 123 million people a year, making hospital care the largest component of the health care sector, a growing portion of the U.S. economy. In 2008, hospitals accounted for $718 billion of the health care sector’s 16.2 percent of the GDP pie, or roughly $2.3 trillion. More

Certificate of Need (CON) programs aim to restrain health care facility costs and allow coordinated planning of new services and construction.  Laws authorizing such programs are one mechanism by which state governments seek to reduce overall health and medical costs. More

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