Price Control In Health Care

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Price control is likely to have a bad effect on the economic whereas Global budget is needed.
The market for physician and hospital services are much closer to the competitive model in the health care fields. Price control could lead to restrictions on the rate of technological development and ultimately the rationing of health care (Wagner, 1993) whereas; Reischauer argued the only way to control Medical care spending is by imposing cap spending. For example, Canada and Germany set global budget for their hospitals, providing each institution with a set amount of money used to provide services to all comers, if spending exceed hospital providers are faced with a dilemma.

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