Oral

The recent financial crisis has impacted private businesses, local and state governments, and non-profit organizations. Repercussions include the freezing of credit limiting the lending processes of banks, a recessionary economy, and increasing reliance on safety net programs. Past studies of public hospitals has focused on the financial hardships imposed on them via a lack of revenues due to the high proportion of patients they treat who have no insurance. Subsidization often comes from the budget of the overseeing government either municipality or state. In the recent economic downturn, these hospitals may also face peril due to the lack of credit, treating a higher proportion of the uninsured, and budget cutbacks. Viewing the problems of financing for public hospitals from a macroeconomic perspective differs from earlier studies that focus on the microeconomic perspective of payments made to these hospitals. In this session, three presentations will address the relationship between the financial crisis and the production of public hospital care.

Session Objectives: To demonstrate the impact of the credit and bond markets on public hospitals that may be susceptible to either closing or reducing services. This session, therefore, examines a topic not yet discussed at length how the overseeing government cuts costs of service expansion as a function of the lack of credit, changing bond ratings and the economic downturn.

CE Credits: Medical (CME), Health Education (CHES), Nursing (CNE), Public Health (CPH)