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Pay-for-Performance Widens Gap Between 'Have,' 'Have-Not' Hospitals

on June 20, 2010  |  Permalink

Topics: Topics, Pay-for-Performance, Market Trends, Strategy, Recession/Downturn

As reported in the Daily Briefing, pay-for-performance models will exaggerate regional disparities in care and further penalize hospitals serving poor communities, according to a study published in the journal PLoS Medicine finding that hospital quality variations are "substantially associated" with a region's economic and workforce resources.

For the study, researchers from New York University Medical School analyzed performance for two common cardiac conditions—myocardial infarction (MI) and heart failure (HF)—at 2,705 hospitals between 2004 and 2007 and regional variation across five "dimensions of location": poverty, unemployment, provider shortage, non-high school graduates in the workforce and college graduates in the workforce.

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Pay-for-Performance Widens Gap Between 'Have,' 'Have-Not' Hospitals

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