Discuss the difference in Medicare payment methods for outpatient services and physician services.

Paying for Hospital and Physician Services

Part I – Paying for Hospital Services

Discuss (in about 2-3 pages) the advantage and disadvantage of the following hospital payment systems on cost containment and provider behavior:

  • Fee-for-service
  • Per diem
  • The DRG-based payment system (i.e., Medicare’s Inpatient Prospective Payment System)
  • Capitation

Part II – Paying for Physician Services

Using the background materials and the information you find from the literature and on the Internet, respond (in about 2-3 pages) to the following questions:

  1. Discuss the difference in Medicare payment methods for outpatient services and physician services.
  2. Discuss the difference between bundled payments and global payments.

SLP Assignment Expectations

Length: Write a 2- to 3-page paper, typed and double spaced, with 12 pt. Times New Roman font and 1-inch page margins. Use headers throughout the paper. This will aid you in not overlooking vital elements of the assignment and make the document easier for the reader to follow.

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