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The coding, fee-for-service cost disaster

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Joe Flower, writing in Hospitals & Health Networks, discusses how code-based, fee-for-service medicine has driven U.S, medicine to be astronomically expensive.

He notes:

And he discusses how a cost-control scheme can drive costs up:

“{T}he coding system actually punished … efficiency and effectiveness. Under this system, we got paid for our inefficiencies, and even for our mistakes: Do-overs often would drop far more to the bottom line than the original procedure did.”

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