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Newsletter Article


Focusing on Value and Cost Containment

In this issue of States in Action, we examine ways in which states are increasingly making health care cost containment a priority, particularly in the context of a dismal economic environment. With forecasts calling for reductions in state revenues due to the mortgage and accompanying credit crisis, states are trying to control the rate of increase of health care spending by enhancing value: improving the quality of care and the health of their residents, promoting efficiencies in the health care system, and creating a foundation for future health insurance expansion efforts. Strategies such as incentive programs for healthy behaviors, establishment of think tanks to drive improvement strategies, and provider payment reform are described below.

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