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The Goodman Institute Health Blog

Category: Health Economics & Costs

Why Are Hospitals Hurting Financially?

Posted on February 24, 2023 by John C. Goodman

You would think with Covid driving so many people to the emergency rooms, hospitals would be in great financial shape. Yet in 2022 hospitals experienced the worst financial performance in memory.  Jeff Goldsmith writes:

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The Future Looks Bleak

Posted on February 24, 2023February 24, 2023 by John C. Goodman

To ensure that the federal government’s borrowing capacity does not become exhausted within the next 25 to 50 years, the growth in federal health care spending must be reduced relative to baseline spending. I provide two scenarios that would provide additional borrowing capacity. These would require federal spending on Medicare, Medicaid, CHIP, and the insurance subsidies to be reduced by at least 7.5 percent of baseline spending, or 0.5 percent of the economy, over the 2025 to 2034 budget window.

Beginning structural reforms sooner rather than later will allow a path of continuous growth in the budget for health programs while avoiding much larger, drastic cuts in the future as well as problematic future tax increases, inflation, and higher interest rates.

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Thursday Links

Posted on February 23, 2023February 23, 2023 by John C. Goodman
  • Transparency: Hospitals still don’t want you to know how much you are going to have to pay.  CMS has issued nearly 500 warning notices and over 230 requests for corrective action. The penalty for non-compliance in 2022 is up to $5,500 per day (more than $2 million a year).
  • Hospitals still don’t want you to know what you are going to be charged: Nearly 500 get a warning from CMS.    
  • Study: 57 percent of nurses felt “exhausted” over the past two weeks, 43 percent felt “burned out,” and just 20 percent said they felt valued.
  • Light pollution: one-third of the people in the world can’t see the Milky Way. (NYT)
  • Not following the science. The most rigorous and comprehensive study to date: masks don’t work. CDC tells schools to require them anyway.
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Wednesday Links

Posted on February 22, 2023February 22, 2023 by John C. Goodman
  • Covid lockdown measures worldwide reduced the seismic noise of the planet by up to 50 percent. 
  • Canadian study: for roughly half the population, drinking coffee increases the risk of kidney dysfunction.
  • The federal government is now required to engage in explicitly racist hiring.
  • David Henderson: The “1619 Project” on Hula vindicates Capitalism (WSJ)
  • The generic drug market isn’t as competitive as we thought.
  • Digital health: The share of U.S. adults who said they use health applications has grown 6 percentage points to 40% since December 2018, while the share of adults who said they use wearables has grown by 8 points to 35%.
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For many years, our health care blog was the only free enterprise health policy blog on the internet. Then, when the NCPA closed its doors, the health blog stopped as well.

During this five-year hiatus no one else has come forward to claim the space. So, my colleagues and I have decided to restart the blog in connection with the Goodman Institute. We invite you and others to use this forum to share your views.

John C. Goodman,

Visit www.goodmaninstitute.org

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