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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Heywood40 who wrote (1012258)	4/20/2017 3:20:03 AM
From: i-node	Read Replies (1) \| Respond to of 1574188

>> Do you acknowledge that the cost of ER medical care is 300% to 600% the cost of clinical care? There are many different definitions of "cost", and the one which is used for a particular analysis varies depends upon its objective. But the cost you're referring to (fully absorbed, fixed, variable, and overhead) is incorrect for any comparison between facilities. For the comparison you are discussing you would consider "marginal cost" or "variable cost", which are similar concepts to one another but not identical. If one performs similar procedures in an ER vs. say, a physician's office, the variable cost would be close to the same. In the post Obamacare environment, however, the clinic will more frequently refer to the hospital or a hroup practice within in it, which radically drives up the variable costs of the procedure for both. One of the great mistakes non-accountants make when comparing amongst alternatives is to compare irrelevant, sunk, fixed costs. It is also a mistake to ignore the fact that ERs are a huge feeder for hospitals. In analyzing fees under RBRVS procedures are tagged with a facility or non facility designation to account for the difference but that doesn't apply when looking at the real cost to provide a given service. I have suggested the establishment of special clinics to handle routine care of uninsured and Medicaids. That proposition has more to do with availability to a the poor than cost, although it can serve to reduce cost in a crowded ER situation that is at or beyond capacity. Obviously, these are complicated issues that hat require ongoing analysis for sensible cost outcomes.