Ridiculous Study of the Week: Costs at Hospital Outpatient Settings Cost More

As if no one knew this:

Where people receive health care matters, especially in terms of costs. The same services may have a much higher price tag when performed in one setting rather than another, but this price difference is rarely publicized to patients. To understand what settings people used and how prices differed, we looked at the utilization and average price paid from 2009 to 2017 for a set of services commonly performed in both physician office and outpatient settings. We found that:

– The share of these services performed in the outpatient setting increased between 2009 and 2017. 

– For this set of services, the average price was always higher in an outpatient setting than an office setting.

I answer them with a sincere “no shit, Sherlock”.

Let the free market work and this all goes away.

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Douglas Farrago MD

Douglas Farrago MD is a full-time practicing family doc in Forest, Va. He started Forest Direct Primary Care where he takes no insurance and bills patients a monthly fee. He is board certified in the specialty of Family Practice. He is the inventor of a product called the Knee Saver which is currently in the Baseball Hall of Fame. The Knee Saver and its knock-offs are worn by many major league baseball catchers. He is also the inventor of the CryoHelmet used by athletes for head injuries as well as migraine sufferers. Dr. Farrago is the author of four books, two of which are the top two most popular DPC books. From 2001 – 2011, Dr. Farrago was the editor and creator of the Placebo Journal which ran for 10 full years. Described as the Mad Magazine for doctors, he and the Placebo Journal were featured in the Washington Post, US News and World Report, the AP, and the NY Times. Dr. Farrago is also the editor of the blog Authentic Medicine which was born out of concern about where the direction of healthcare is heading and the belief that the wrong people are in charge. This blog has been going daily for more than 15 years Article about Dr. Farrago in Doximity Email Dr. Farrago – [email protected] 

  3 comments for “Ridiculous Study of the Week: Costs at Hospital Outpatient Settings Cost More

  1. Kevin Soden
    April 13, 2019 at 9:37 am

    I couldn’t agree with you more. This is truly a “no shit Sherlock” study. Of course, emergency room costs are even higher. What’s really scary is the new trend in freestanding emergency rooms which really charge patients even more and often times are not reimbursed by insurance since they say they are out of network even if in the same area. I have seen some horrible price gouging with these freestanding ERs.

  2. Martha Oreilly
    April 7, 2019 at 2:55 pm

    Colonel Obvious days “wow what a great study!”

    • Martha Oreilly
      April 7, 2019 at 5:08 pm

      Dammit SAYS NOT DAYS

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