Is provider selection a source of PPO savings?
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This research investigated the relationship between provider characteristics and practice patterns for a sample of psychologists who were potential members of a Preferred Provider Organization (PPO). Psychologists who joined did not have lower costs of service provision or different practice patterns than those who did not. The implication of this finding is that any PPO cost savings would have to be attributed to the effectiveness of the delivery system rather than to a provider selection effect where providers who joined had preexisting lower costpatterns of service provision.
KeywordsPublic Health Lower Cost Delivery System Cost Saving Service Provision
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