Can we make a new deal? Entitlement reform sounds alluring, but the reality is stark

Article Abstract:

Entitlement programs account for most of the $794 billion in mandatory spending of the $1.5 trillion federal budget for FY 1994. Entitlement programs include benefit programs such as Medicare, Medicaid, Social Security, veterans' benefits and farm subsidies. By 2004, the Congressional Budget Office estimates that mandatory spending will use up 62% of the budget. While most Americans favor cutting mandatory spending, few agree to cuts in the Social Security, Medicare and Medicaid programs, which account for one third of federally spent dollars. Entitlement reform is sure to be a major issue that the Republican Congress will have to resolve.

Economic Programs, Administration of Economic Programs, Management, Economic policy, United States. Congress, Medicaid, Social security, Medicare, Entitlement spending

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Will reform be a plus for GPOs?

Article Abstract:

Group purchasing organizations (GPOs) will need to evolve as health care reform is implemented. For example, they may focus on buying technology as well as other equipment and supplies. By buying many dialysis machines at the same time and alerting the manufacturer beforehand, both the manufacturer and the GPO can save money. However, reform may force the consolidation of some GPOs and the breakup of others. In addition, large health networks may form that can serve as their own GPOs. Networks may also find that alliances with particular suppliers are good marketing tools, and this may also weaken GPOs.

Group purchasing organizations

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Capitation: developing partnerships for health care

Article Abstract:

The increase in hospital-supplier partnerships is making capitation an attractive approach to contracting for healthcare providers and material management professionals. At present, both engage in capitated risk shifting and capitated risk sharing. Supply contracts, however, differ according to the terms for the bill of material, product line and total supplies. In light of these, material management executives need to assess the risks associated with capitated supply contracts.

Interpretation and construction, Hospitals, Contracts, Capitated payment systems (Medical care)

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