Deflator And Inflator: The Dual Role Of Technology In Healthcare Expenditure

In the current healthcare landscape, managing costs is paramount, especially with market disruptions like inflation, rising drug costs and technology investments, all impacting financial stability. Reports by Health Affairs, PwC and KFF provide overviews and predictions of the current cost pressures, emphasizing the importance of innovative solutions and strategic management to curb rising expenses.Cost management strategies tend to focus on lowering expenses in the near term, while cost avoidance mitigates or eliminates potential future costs. Federal data revealed that healthcare spending in the U.S. is projected to have risen 7.5% in 2023 to $4.8 trillion, outpacing the projected annual gross domestic product growth rate of 6.1%. This is an unsustainable increase in expenditures that needs immediate attention and transformation.