Schlesinger_nonprofi - At the Intersection of Health Health Care and Policy Cite this article as Mark Schlesinger and Bradford H Gray How

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At the Intersection of Health, Health Care and Policy (published online June 20, 2006; 10.1377/hlthaff.25.w287) , 25, no.4 (2006):W287-W303 Health Affairs How Nonprofits Matter In American Medicine, And What To Do About It Mark Schlesinger and Bradford H. Gray Cite this article as: http://content.healthaffairs.org/content/25/4/W287.full.html available at: The online version of this article, along with updated information and services, is For Reprints, Links & Permissions: http://healthaffairs.org/1340_reprints.php http://content.healthaffairs.org/subscriptions/etoc.dtl E-mail Alerts : http://content.healthaffairs.org/subscriptions/online.shtml To Subscribe: from the Publisher. All rights reserved. including photocopying or by information storage or retrieval systems, without prior written permission may be reproduced, displayed, or transmitted in any form or by any means, electronic or mechanical, Health Affairs Foundation. As provided by United States copyright law (Title 17, U.S. Code), no part of by Project HOPE - The People-to-People Health 2006 Bethesda, MD 20814-6133. Copyright © is published monthly by Project HOPE at 7500 Old Georgetown Road, Suite 600, Health Affairs Not for commercial use or unauthorized distribution by guest on January 6, 2012 Health Affairs by content.healthaffairs.org Downloaded from
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How Nonprofits Matter In American Medicine, And What To Do About It Reports of the demise of nonprofits in U.S. health care are premature. by Mark Schlesinger and Bradford H. Gray ABSTRACT: Skeptics question nonprofit health care on the grounds that nonprofits fail to distinguish themselves from their for-profit counterparts and do not reliably provide com- munity benefits commensurate with their tax subsidies. Drawing on the most recent and comprehensive evidence, we assess these charges, judging them to be either wrong or in- complete. Although conventional critiques are therefore unconvincing, there are nonethe- less important challenges facing the nonprofit sector in American medicine. To address these, we propose reformulating ownership-related policies to define both the appropriate forms of community benefit and the appropriate mix of ownership in terms of local markets and communities. [ Health Affairs 25 (2006): w287–w303 (published online 20 June 2006; 10.1377/hlthaff.25.w287)] T he legitimacy and favored tax treatment of nonprofit medical care organizations have come under fire from politicians and academics, as for-profit care has expanded for some services (Exhibit 1). Some policy- makers doubt that nonprofits reliably contribute community benefits commensu- rate with the value of their tax exemptions as charitable organizations. Sen. Chuck Grassley (R-IA), for example, justified his recent “investigation” of ten nonprofit hospitals by stating that “tax-exempt status is a privilege. Unfortunately, some charities abuse that privilege.” 1 Some academics question whether nonprofit own- ership matters. As Jill Horwitz notes, “Many scholars claim that the diversity of corporate form is essentially a fiction. …While the particular arguments vary, the message is simple. The not-for-profit form does not matter for the public good or,
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This note was uploaded on 01/18/2012 for the course PADP 8610 taught by Professor Ferig during the Fall '11 term at University of Georgia Athens.

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Schlesinger_nonprofi - At the Intersection of Health Health Care and Policy Cite this article as Mark Schlesinger and Bradford H Gray How

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