Health Care Economies of Scale
In the recent article, "Health-Care Economies of Scale," Bloomberg Businessweek reported on the Center for Medicare and Medicaid Innovation's efforts to lower medical costs and improve the quality of care. A study being conducted by Amedisys and Louisiana State University was featured as the kind of private-sector initiatives Medicare is evaluating:
"An experiment Amedisys plans in New Orleans is similar to those funded by the grants to the 15 states. The center will monitor it, though it won’t be contributing money. Conducted with Louisiana State University, also in Baton Rouge, the project will focus on keeping low-income patients with multiple chronic health conditions out of hospitals, says Lewis, one of 73 unpaid “innovation advisers” at Gilfillan’s agency.
A group of doctors and nurses will focus on just a few dozen patients with diabetes and other health problems and manage their cases without taking cost into account, says Lewis. The theory is that doing intensive preventive care may be costly upfront, but it will cut down on more expensive hospital stays down the line."
“If we find something that can work, we have the ability to spread it rapidly” across Medicare because of the innovation center’s involvement, says Julie Lewis, vice president of health policy for Amedisys."