1 / 14

Your Money or Your Life

Delve into the economic impact of medical advancements, weighing the benefits of treatment innovation against excessive spending. Learn how healthcare reform and technology can enhance quality care and efficiency in the industry.

pjulie
Download Presentation

Your Money or Your Life

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Your Money or Your Life David M. Cutler Harvard University

  2. One of the following is true… • Money spent on new medical innovations is a major drain on the economy • More R&D will lower health spending. • Elvis is alive and haunting the Boston Red Sox

  3. Two types of innovation • Treatment innovation • Extremely rapid, very expensive • Key question: is it worth it? • Process innovation • Much slower

  4. Consequences of treatment innovation • As a whole, what we do is worth it. Source: Cutler et al., NEJM, 2006.

  5. Consequences of treatment innovation • But we significantly overdo it. Source: Baicker and Chandra, Health Affairs

  6. If you believe… • The high value as a whole • Spend more on medical innovation, and convince people it’s good • We overdo it • Think about health care cost containment.

  7. Conceptualizing Medical Advance Should Be Done YesNo Yes No Is Done

  8. The benefits of high-tech Conceptualizing Medical Advance Should Be Done YesNo Yes ☺ No ☺ Is Done

  9. The matching of needs to services is haphazard Should Be Done YesNo Yes ☺ No ☺ Acute interventions Is Done Chronic disease management

  10. Coordination is very important Source: Baicker and Chandra, Health Affairs

  11. It is possible to: • Cut spending by 20-30 percent (in addition to admin) • Wennberg and colleagues • Get people better care • See HEDIS measurement

  12. How To Do This? • Demand side: Make health care more of a market, like other things • Supply-side: Orient payment to quality • Information technology • Quality-based rewards

  13. Examples of Underdeveloped Industries • The personal health planning industry • The cousin of financial planning • The care coordination industry • Shouldn’t we all get concierge medicine? • The post-trial evaluation industry • What really works, and how?

  14. In Summary • Elvis may be haunting the Red Sox, but with the right medical team, maybe he could beat the Yankees.

More Related