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I'd like to share some information about a report issued last week comparing the alleged cost "efficiency" of California hospitals. The report was commissioned by a coalition of employers and health care purchasers -- the California Public Employees Retirement System (CalPERS) and the Pacific Business Group on Health (PBGH). The report makes an attempt to compare hospitals in terms of the prices they charge private insurers and purchasers. Among the findings is that private payers pay hospitals about 40 percent more than they should to make up for shortfalls from the Medicare and Medi-Cal programs.
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