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Measuring Efficiency: The Association Of Hospital Costs And Quality Of Care
Health Affairs, 05/14/09
Jha AK et al. - Providers with lower costs may be more efficient and, therefore, provide better care than those with higher costs. However, the relationship between risk-adjusted costs (often described as efficiency) and quality is not well understood. The authors examined the relationship between hospitals’ risk-adjusted costs and their structural characteristics, nursing levels, quality of care, and outcomes. U.S. hospitals with low risk-adjusted costs were more likely to be for-profit, treat more Medicare patients, and employ fewer nurses.
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