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Report · May 1999

Has Managed Care Affected the Availability of Medical Technology?

Joanne Spetz and Laurence Baker

The consensus among health care researchers is that managed care has played a key role in slowing the surging cost of health care.  However, one of the most powerful factors driving the long-term growth of health care expenditures is technology diffusion-the development and use of medical technology.  If managed care organizations cannot effectively control the long-term diffusion of technology, it is unlikely that they will be able to continue to curtail rising costs.  This study examines the relationships between managed care and technology diffusion over a ten-year period in 261 metropolitan areas throughout the United States.


Health & Safety Net