Tags

Type your tag names separated by a space and hit enter

Dialogue. Industry consolidation: what's at stake for consumers and purchasers?
Behav Healthc Tomorrow. 1998 Aug; 7(4):32-8.BH

Abstract

The behavioral healthcare field has undergone massive consolidation, especially in the last year. Health plans, hospital systems, and community-based organizations have all been affected. Economists argue that consolidation is a logical consequence of the current, competitive healthcare market. But consumers and purchasers wonder if the mergers and acquisitions will benefit them. Efficient markets are supposed to stimulate competition in ways that reward purchasers and consumers of services. When prices go down and quality improves as a result of competitive market forces, then the market has functioned properly and has served its purpose. Behavioral healthcare, however, is an essential human service, not a commodity. And the consumers and purchasers of healthcare are typically not the same person or entity, which also makes the healthcare market different from the markets for cars, computers, food, or any other type of consumer product. More than 100 million Americans now receive managed behavioral health benefits from only three companies. With such intense power concentrated in the hands of such a small number of providers, the time has come to evaluate the impact of the consolidation trend. In the following dialogue article, leaders, representing different interest groups review the benefits and risks of massive industry consolidation, and propose solutions to the critical challenges that it raises.

Authors

No affiliation info availableNo affiliation info availableNo affiliation info availableNo affiliation info available

Pub Type(s)

Journal Article

Language

eng

PubMed ID

10182151

Citation

Greenberg, W, et al. "Dialogue. Industry Consolidation: What's at Stake for Consumers and Purchasers?" Behavioral Healthcare Tomorrow, vol. 7, no. 4, 1998, pp. 32-8.
Greenberg W, Allen J, Wider JJ, et al. Dialogue. Industry consolidation: what's at stake for consumers and purchasers? Behav Healthc Tomorrow. 1998;7(4):32-8.
Greenberg, W., Allen, J., Wider, J. J., & Ray, C. G. (1998). Dialogue. Industry consolidation: what's at stake for consumers and purchasers? Behavioral Healthcare Tomorrow, 7(4), 32-8.
Greenberg W, et al. Dialogue. Industry Consolidation: What's at Stake for Consumers and Purchasers. Behav Healthc Tomorrow. 1998;7(4):32-8. PubMed PMID: 10182151.
* Article titles in AMA citation format should be in sentence-case
TY - JOUR T1 - Dialogue. Industry consolidation: what's at stake for consumers and purchasers? AU - Greenberg,W, AU - Allen,J, AU - Wider,J J,Jr AU - Ray,C G, PY - 1998/7/6/pubmed PY - 2001/3/28/medline PY - 1998/7/6/entrez SP - 32 EP - 8 JF - Behavioral healthcare tomorrow JO - Behav Healthc Tomorrow VL - 7 IS - 4 N2 - The behavioral healthcare field has undergone massive consolidation, especially in the last year. Health plans, hospital systems, and community-based organizations have all been affected. Economists argue that consolidation is a logical consequence of the current, competitive healthcare market. But consumers and purchasers wonder if the mergers and acquisitions will benefit them. Efficient markets are supposed to stimulate competition in ways that reward purchasers and consumers of services. When prices go down and quality improves as a result of competitive market forces, then the market has functioned properly and has served its purpose. Behavioral healthcare, however, is an essential human service, not a commodity. And the consumers and purchasers of healthcare are typically not the same person or entity, which also makes the healthcare market different from the markets for cars, computers, food, or any other type of consumer product. More than 100 million Americans now receive managed behavioral health benefits from only three companies. With such intense power concentrated in the hands of such a small number of providers, the time has come to evaluate the impact of the consolidation trend. In the following dialogue article, leaders, representing different interest groups review the benefits and risks of massive industry consolidation, and propose solutions to the critical challenges that it raises. SN - 1063-8490 UR - https://www.unboundmedicine.com/medline/citation/10182151/Dialogue__Industry_consolidation:_what's_at_stake_for_consumers_and_purchasers DB - PRIME DP - Unbound Medicine ER -