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Bang for Your Buck: Could Medicare's Hospital Value-Based Purchasing Program Rein in Health-Care Spending in Pneumonia

  • Zilberberg, Marya D.
  • Tjia, Jennifer
  • Shorr, Andrew F.
Publication Date
May 01, 2020
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In 2018, US health-care spending topped $3.6 trillion, exceeding the entire gross domestic products of nations such as the United Kingdom and Brazil.1,2 At the current rate of growth, we are on track by year 2027 to spend nearly 20% of the US annual gross domestic product on health care.1 In 2018, Medicare accounted for 15% of all federal outlays in the United States, and hospital costs accounted for nearly one-half of all Medicare payments.3 Although its pace of growth had temporarily slowed, it seems to be climbing back to unsustainable levels. At the same time, with the advent of personalized medicine, the price tag for individually tailored treatments is reaching into the stratosphere.

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