New Data on the Cost-shifting Debate Published in the National Bureau of Economic Research

New research published by the nonprofit, nonpartisan National Bureau of Economic Research provides new data on a longstanding debate in health economics and health policy:  whether or not hospitals “cost-shift” by adjusting prices with private insurers following reductions in public funding.  The new analysis shows that between 2010 and 2015, hospitals reacted to reduced Medicare payments by negotiating 1.6 percent average higher payments from private insurers,  increased prices that added an average of $86,500 per hospital for acute care claims for privately insured patients to offset reim