CBO’s Analysis of Financial Pressures Facing Hospitals Identifies Need for Additional Research on Hospitals’ Productivity and Responses

CBO’s analysis found that hospitals’ profit margins could decline by 2025. Whether hospitals could respond to those financial pressures in ways that maintain their profitability is unclear, highlighting the need for more research.

    

Projecting Hospitals’ Profit Margins Under Several Illustrative Scenarios: Working Paper 2016-04

CBO released a paper calculating hospitals’ profit margins in 2025 under several illustrative scenarios. Although hospitals could face greater financial pressure, the evidence was not sufficient to assess how hospitals might respond.

    


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