On Biomedical Research Policy in the Future
Abstract
The pressure to control federal deficits seems certain to continue well into the 1990s, which means tight biomedical research budgets. Many proposals with scientific merit are likely to remain unfunded, the competition for existing funds will increase, and the search for new funding sources will become more intense. Although progress has been made in the control of health care costs over the past several years, the problem is going to persist, and it may adversely affect biomedical research funding, independent of the general pressure it places on the federal budget. Advances in medical science often involve expensive new technologies and some believe that one way to control costs is for the government to spend less on biomedical research. New payment systems, such as the Medicare Prospective Payment System (PPS), capitated payment plans,and preferred provider organizations, provide disincentives for the use of expensive new diagnostic and treatment modalities, unless they are cost-saving. Of course, there are some safeguards in these systems against inappropriate rationing of new technology, but it is difficult to design features that will discourage only wasteful use without use without also discouraging some beneficial use.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 01, 1989
- Accession Number
- ADA228270
Entities
People
- Albert P. Williams
Organizations
- RAND Corporation