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Article: Use of midlevel practitioners to achieve labor cost savings in the primary care practice of an MCO.(Health Care Economics)(Managed care organizations)
- Article from:
- Health Services Research
- Article date:
- June 1, 2004
- Author:
CopyrightCOPYRIGHT 2004 Health Research and Educational Trust. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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One strategy for managed care organizations (MCOs) to achieve cost savings is reconfiguration of division of labor so that care is aligned with a practitioner qualified to provide the care in a cost-effective manner. In primary care, MCOs can lower primary care delivery costs by making more effective use of midlevel practitioners (Flood et al. 1998; Scheffler, Waitzman, and Hillman 1996). Compensation of nurse practitioners (NPs) and physician assistants (PAs) is less than the compensation of physicians (MDs), and their training is appropriate for treatment of acute minor or stable chronic conditions, which are frequent in primary care, but are often attended by MDs.
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