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Hospital inequality & the business of medicine

5/8/2020

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How are some non-profit hospitals more profitable than others?
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My medical school curriculum includes a class called the “Business of Medicine,” where we learn about different payment systems in the healthcare industry. My school’s affiliated hospital, Northwestern Memorial, seems to have the business aspect of medicine down pat, as it ranks among the most profitable hospitals in the US. Meanwhile, just 11 miles away on the South Side of Chicago, South Shore is one of several neighboring hospitals that recently announced financial struggles. Both Northwestern Memorial and South Shore are non-profit institutions. How is it that some non-profit hospitals are so much more profitable than others?

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