Unintended Consequences of Health Care Cost Control Laws
Federal and state laws designed to control healthcare costs drive up expenses and limit access to care. Certificate-of-need (CON) laws, for example, restrict the expansion of hospitals and services, particularly impacting rural areas. These laws, alongside other regulations like COPA and ACA restrictions on physician-owned hospitals, have led to fewer hospitals, longer wait times, and higher prices for patients.
The COVID-19 pandemic highlighted these issues, with states enforcing these laws experiencing higher hospital bed usage and overcrowded facilities. Policymakers need to reconsider these regulations to improve access and affordability in health care. Read the full article
The Unintended and Anticompetitive Consequences of Laws to Control Health Care Costs (Chen, JAMA, 6/27).