Health care costs rose faster than inflation despite weak economy
By Julie Appleby, Kaiser Health News
Higher prices charged by hospitals, outpatient centers and other providers drove up health care spending at double the rate of inflation amid the weak economy -- even as patients consumed less medical care overall, according to a new study.
Prices rose at least five times faster than overall inflation for emergency room visits, outpatient surgery and facility-based mental health and substance abuse care from 2009 to 2010, says the report by the Health Care Cost Institute, a nonpartisan research group funded by insurers. Prices declined in only one category: Nursing home care, which saw a 3.2 percent drop in the cost per admission.
One of the areas with the fastest growing spending, meanwhile, was children's medical care.
"The story really does seem to be prices," said Martin Gaynor, chair of the institute's governing board and a health care economist at Carnegie Mellon University.
http://lifeinc.today.msnbc.msn.com/_news/2012/05/21/11792712-health-care-costs-rose-faster-than-inflation-despite-weak-economy?liteA couple of years ago, even before this increase, I entered the Emergency Room of Mass General Hospital in the wee hours of a Thursday morning.
After X-rays revealed a gut problem, I was admitted. (The diagnosis was fairly routine: I'd had massive gut surgery at the same hospital in 1996 and been into the same hospital with similar problems several times since 1996.)
The only treatment was IV nutrition Thursday and Friday, so that my gut could do as little work as possible. By Saturday morning, I was back on solid food.
I was discharged Saturday evening, so the admission lasted about two full days (added to the several hours of the Emergency Room visit.)
It was Thanksgiving weekend and the highest rank doc I saw either in the ER or in the hospital was a surgery resident.
The bill was almost $20,000.
In addition to what it charges patients, Mass General gets many grants and charitable gifts from all over the world. It also has lots of volunteers. Probably no hospital in the U.S. is better endowed.