C799 Healthcare Eco systems NOTES.docx

The american medical association ama was established

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The American Medical Association (AMA) was established in 1847 to represent the interests of physicians across the United States (AMA 2015). In 1876, the Association of American Medical Colleges (AAMC) was established (AAMC 2015). AAMC’s mission was to standardize the curriculum for medical schools in the United States and to increase the public’s awareness of the need to license physicians. 1906, Abraham Flexner initiated a four-year study of medical colleges, visiting every medical college and carefully documenting his observations ( Flexner 1910 ). In 1910, he presented his findings of the poor quality of medical training to the Carnegie Foundation, the AMA, and the AAMC. Based on his report and recommendations by the AMA’s Committee on Medical Education, several reforms were adopted. These reforms included that medical school applicants hold a college degree, that medical training be founded on science and that medical students receive practical hospital-based training. The Medicare and Medicaid programs were legislated in 1965 to pay the cost of providing healthcare services to the elderly and the poor, respectively.
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The term hospital can be applied to any healthcare facility that has the following four characteristics: •An organized medical staff, •Permanent inpatient beds, •Around-the-clock nursing services, and •Diagnostic and therapeutic services. For-Profit or Not-for-Profit Status Hospitals also can be classified on the basis of their ownership and profitability status. Not-for- profit healthcare organizations use excess funds to improve their services and to finance educational programs and community services. For-profit healthcare organizations are privately
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owned. Excess funds are paid back to the managers, owners, and investors in the form of bonuses and dividends. Government-owned hospitals are operated by a specific branch of federal, state, or local government as not-for-profit organizations. Government-owned hospitals are sometimes called public hospitals. They are supported, at least in part, by tax dollars. Examples of federally owned and operated hospitals include those operated by the Department of Veterans Affairs to serve retired military personnel. The Department of Defense operates facilities for active military personnel and their dependents. Many states own and operate psychiatric hospitals. County and city governments often operate public hospitals to serve the healthcare needs of their communities, especially those residents who are unable to pay for their care. Proprietary hospitals may be owned by private foundations, partnerships, or investorowned corporations. Large corporations may own a number of for-profit hospitals, and the stock of several large US hospital chains is publicly traded. Voluntary hospitals are not-for-profit hospitals owned by universities, churches, charities, religious orders, unions, and other not-for-profit entities. They often provide free care to patients who otherwise would not have access to healthcare services.
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  • Fall '18
  • C799 Study Notes

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