American Journal of Managed Care
Vol. 16, Issue 2, Pages 131-138
February 2010
HKS Authors
See citation below for complete author information.
John D. MacArthur Research Professor of Health Policy and Management
Ethel Zimmerman Wiener Professor of Public Policy, HKS; Henry and Allison McCance Professor of Business Administration, HBS
Abstract
The positive correlation in utilization and lack of correlation in spending implies an inverse correlation in prices. This is consistent with evidence that the differences appear to be, at least partially, related to aspects of the market structure. If private markets are to work better to reduce cost, stronger efforts are needed to reduce provider market concentration and promote competitive pricing for healthcare services.
Citation
Chernew, Michael E., Lindsay M. Sabik, Amitabh Chandra, Teresa B. Gibson, and Joseph P. Newhouse. "Geographic Correlation Between Large-Firm Commercial Spending and Medicare Spending." American Journal of Managed Care 16.2 (February 2010): 131-138.