Compared to other developed nations, the United States spends far more on healthcare yet still experiences lagging health outcomes. At the same time, healthcare spending in the United States continues to outpace our economic growth. One of the key contributing factors to rising healthcare costs is rising market consolidation. Since 2010 there have been more than 1000 hospital mergers, which has resulted in higher prices for healthcare. These higher prices lead to higher insurance premiums and higher out-of-pocket costs. While the industry often claims that merger activity will result in lower costs and more coordinated patient care, research shows this is often not the case. This video explores the different types of healthcare consolidation, the winners and losers of these mergers, and what can be done to adjust course.
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