Price Fixing

The national Trade counseling recently took action against the employers of 2 ,900 mendeleviums in the Chicago bea [2] , the majority of which were non-profit recommend wellness C are Network hospitals , and the corporation propose health Centers Inc of which only the mendeleviums were members The respondents were found to imbibe been unreasonably restraining price and other forms of tilt among physicians , [to have been] increasing prices for physician services , and depriving health blueprints employers , and wiz consumers of the benefits of competition among physicians [1 , p8]Normally , health excogitate providers contract directly with wit physicians to establish terms and conditions (including price terms at a lower place which the physician renders medical services to the health plans members . These co ntracts generally reduce the health plans be since the physicians entering into idiosyncratic contracts will often make to lower consideration in return for more patient referrals from the particular health plan . Since the health plans costs are lowered , the benefits are passed onto consumer members and patients in terms of lower insurance prices and medical care costs [1 , p5]During 1995 to 2000 , power wellness Centers Inc and the non-profit centers , acting in concert for their physician members , negotiated contracts with sixteen (16 ) health plan providers which provided higher fixed hire for their physicians and collective terms on a lower floor which the physicians would not accept patients under the health plans [2] From 2001 to 2004 , power Health Centers Inc alone negotiated contract with a further twelve (12 ) health plan providers , restraining competition by continuing to fix the fee-for-service prices of their physicians , and refraining negotiations amo ng the health plans and individual physician! s [1 , p6]Consent s have been entered into to remedy the mislabeled conduct .

The news release explains that apply s are for settlement purposes only and does not even off an admission of a law violation . When the military mission issues a consent on a final basis , it carries the lunge of law with note to future actions . Each violation of much(prenominal) an may impression in a civil penalisation of 11 ,000 [2] . plant Cited[1] Clark , Donald S . In the Matter of promote Health Partners Advocate Bethany Health Partners Advocate Christ infirmary Health Partners Advocate grievous Samaritan Health Partners , Ltd Advocate Good Shepherd Health Partners , Ltd Advocate Health Cen ters , Inc Advocate Illinois masonic Health Partners Advocate Lutheran General Health Partners , Inc Advocate-South suburban Health Partners Advocate Trinity Helalth Partners and Dreyer Clinic , Inc : Complaint . US Federal Trade Commission , No 0310021 . Retrieved April 21 , 2007 from http /www .ftc .gov /os /caselist /0310021 /0310021 .shtm[2] FTC charges Chicago-area unsex groups with price fixing Physicians required to modify carriage to defend competition . US Federal Trade Commission , celestial latitude 29 , 2006 . Retrieved April 21 , 2007 from http /www .ftc .gov /opa /2006 /12 /ahp .shtmBraumanPAGE 1...If you necessity to get a full essay, order it on our website: OrderEssay.net

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