Navigation Links
Vast geographic differences found in drug spending under Medicare
Date:6/15/2010

PITTSBURGH, June 9 Widespread geographic variations exist in drug spending among Medicare beneficiaries, with some regions spending twice as much as others, according to a University of Pittsburgh Graduate School of Public Health study. Published in the Online First June 9 issue of the New England Journal of Medicine, and the first to explore regional drug spending under Medicare, the study also found that higher spending on drugs was not balanced by lower spending on other medical care services such as hospitalizations and visits to the doctor's office.

"As current health care reform legislation seeks to address inefficiencies in Medicare spending to get costs under control, it is vitally important to look at how spending differs regionally," said the study's lead author, Yuting Zhang, Ph.D., assistant professor of health economics at the University of Pittsburgh Graduate School of Public Health. "One of the key questions is whether Medicare patients who spend more on drugs to control chronic conditions have fewer physician visits and hospitalizations. Without examining drug expenditures, it is impossible to know whether spending in one area may substitute for spending in another."

In the study, Dr. Zhang and her colleagues, Joseph P. Newhouse, Ph.D., and Katherine Baicker, Ph.D., Harvard School of Public Health, calculated average drug and non-drug medical spending in 2007 among 306 hospital-referral regions across the U.S. as defined by previous studies. They controlled for geographic differences in health care prices, population demographics, insurance status and overall health, and they developed maps to illustrate annual drug and total medical spending by Medicare beneficiaries across each hospital-referral region.

The authors found that drug spending accounted for more than 20 percent of total medical spending, but varied substantially. For example, the highest region for drug spending under Medicare was Manhattan, N.Y. ($2,973 annually per beneficiary) and the lowest as Hudson, Fla. ($1,854 annually per beneficiary). Non-drug medical spending also varied widely and was twice as high in the highest-spending regions compared to the lowest.

The authors also found that variations in drug spending were only weakly associated with variations in non-drug medical spending.

"Spending more on drugs didn't clearly result in less spending on other medical services," said Dr. Zhang. "Although there was a weak correlation between the two types of spending, high spending in one area was not offset by low spending in the other. This data gives us valuable insight into the use of health care resources and may help guide public policy related to health care reform."


'/>"/>

Contact: Clare Collins
CollCX@upmc.edu
412-648-9725
University of Pittsburgh Schools of the Health Sciences
Source:Eurekalert

Related medicine news :

1. SOKO Fitness & Spa Group Broadens Geographic Expansion Strategy
2. Census Bureau News -- 2007 Economic Census: Health Care and Social Assistance Geographic Area Series (NAICS 62)
3. Population health plays a bigger role in geographic differences in Medicare spending
4. His or hers jealousy? Study offers new explanation for sex differences in jealousy
5. Racial differences in medication use
6. Medicare data reveals differences in orthopedic surgical outcomes
7. Survey finds significant racial differences in lung cancer beliefs
8. Few differences in outcomes between open and laparoscopic prostate surgery
9. American Stroke Association Late-Breaking Science Report: Surgery, Stenting to Open Blocked Neck Arteries Similar in Safety, Efficacy, But Show Differences in Stroke, Heart Attack and Death Rates at Certain Ages
10. Poll reveals sleep differences among ethnic groups
11. Poll Reveals Sleep Differences Among Ethnic Groups
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:2/12/2016)... , ... February 12, 2016 , ... According to an ... are beginning to account for a significant portion of hernia repairs throughout the United ... the Beverly Hills Hernia Center notes that this trend has not only been expected, ...
(Date:2/12/2016)... ... ... Enforcement Trends: , Back to the Future , Feb. 25, 2016 — 11:00 a.m. – ... who don’t learn from history are doomed to repeat it.” , An analysis of CDRH’s ... But that takes time. , Take a close look at the warning letters the ...
(Date:2/12/2016)... , ... February 12, 2016 , ... ... announced that nominations have closed for the ISE Southeast Awards 2016. Finalists and ... announced at the ISE® Southeast Executive Forum and Awards Gala on March 15, ...
(Date:2/12/2016)... , ... February 12, 2016 , ... AssureVest Insurance Group, ... is initiating a charity drive that will raise funds earmarked to purchase computers and ... Tayloe Elementary School. , “My school is in a low-income area and has more ...
(Date:2/12/2016)... ... 2016 , ... Donor Network West, the organ procurement organization that heals lives ... San Ramon Regional Medical Center. Under the collaboration, the first of its kind, specific ... a more certain time frame for donor families for the recovery of organs. ...
Breaking Medicine News(10 mins):
(Date:2/12/2016)... On Thursday, Feb. 11, 2016, surgeons at ... North Austin Medical Center successfully completed the first robotic ... Surgical System with Trumpf Medical,s advanced operating table, ... , M.D., colorectal surgeon at the Texas Institute for ... Motion technology, which seamlessly combines the da Vinci Xi ...
(Date:2/12/2016)... , 12 februari 2016 AAIPharma ... toonaangevende leverancier van productie en ontwikkeling op ... kondigt vandaag een uitbreiding aan van steriele ... locatie in Charleston, SC ... tot meerdere recente investeringen. http://photos.prnewswire.com/prnh/20150806/256637LOGO ...
(Date:2/11/2016)... , Feb. 11, 2016 The primary goal ... future adoption patterns on the usage of liquid biopsy. ... following: - Timeframe of liquid biopsy adoption ... cfDNA and Evs—by organization type - Sample inflow to ... blood, saliva, stool, serum, and so on. - Correlation ...
Breaking Medicine Technology: