As of 2021, US health care expenditures exceed $3.8 trillion. It’s no secret that health care is nearly as wasteful in spending on value defects—behaviors that needlessly reduce quality, negatively impact the patient experience, or add to total costs of care—as it is in delivering clinical benefits.
Insurance and Provider Markets
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New Evidence Suggests a Lack of Cost-Shifting in Prescription Drug Markets
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Revisiting Early Structural Findings of Asymmetric Information’s Non-Existence in Health Insurance
AHRQ Postdoctoral Research Fellow revisits an early structural model that tests for asymmetric information in health insurance.
Association of Drug Rebates and Competition With Out-of-Pocket Coinsurance in Medicare Part D, 2014 to 2018
Research from Schaeffer Center experts Darius Lakdawalla and Meng Li in JAMA Network Open finds U.S. insurers could use drug manufacturer rebates to lower retail pharmacy prices and reduce patient out-of-pocket burden by 38% on average, or 70% in the most competitive drug classes.
About this section
Competition is essential for a properly functioning marketplace, but industry consolidation, insurance complexity and other factors are barricading healthcare consumers from the benefits of good commerce. Schaeffer Center analysts explore ways to remove those obstacles to efficiency, while also promoting optimal care.