Government participation in physician negotiations in German economic policy as applied to universal health care coverage in the United States

Francis D. Powell

Social Science & Medicine, 1994, vol. 38, issue 1, 35-43

Abstract: Systems of universal health care coverage in western industrial societies have usually established some form of government participation in negotiations over physician payment as a means of controlling costs. In the Federal Republic of Germany, a mixed private and public body. Concerted Action in Health Care sets a 'target' for physician and 'sickness fund' negotiators. This indirect form of government participation is effective in 'linking' fees with utilization during negotiations, avoiding inflationary trends inherent in fee-for-service systems. This target-setting factor is a necessary complement to negotiation of a 'pool' of money, wage level and technological adjustment factors, as contained in a model of German economic health care policy. These four elements of economic policy are recommended as cost control measures for office-based physician payments under conditions of universal health care coverage in the United States. Indirect government participation through setting 'targets' for negotiations is seen as consistent with estab;ished American institutional practices.

Keywords: target-setting; German; negotiations; U.S.; physician; payments (search for similar items in EconPapers)
Date: 1994
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