Tuesday, May 09, 2006

Consumer-driven health care: freeing providers to innovate: consumer-driven health care offers salvation to a healthc

Consumer-driven health care: freeing providers to innovate: consumer-driven health care offers salvation to a healthcare industry that penalizes providers that dare to be innovative: "Corporate entrepreneurs drive improvements in a productive economy and are rewarded financially. The U.S. healthcare industry, on the other hand, allows payers to dictate prices and punishes any providers that try to create better, cheaper goods and services. The result is missed opportunities for innovation. Consumer-driven health care (CDHC), however, allows providers to innovate and offers consumers choice. Basically, CDHC matches supply and demand while rewarding skilled entrepreneurs."
Will this allow rewards to be linked to performance ? In the past in India, physicians were paid a retainer by the family, and these continued as long as everyone was healthy . If anyone fell ill, the payments were stopped , because this meant the doctor was not doing his job properly ! The job of the doctor was to keep everyone healthy - not just to fix a problem during an episodic illness. This is why the Indian system of medicine is called Ayurveda - the Science of Life !

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