Fed Economist Steps Into Dispute On Geographic Differences In Health Spending - Kaiser Health News
The Obama administration and many prominent economists believe that as much as a third of the $2.7 trillion spent on health care may be due to wasteful practices of physicians and hospitals that could be eliminated without hurting patients. This is based on decades of research, principally by the Dartmouth Institute for Health Policy & Clinical Practice in New Hampshire, showing that Medicare spending in some regions of the country is significantly higher than others.
The Fed study suggest the more obvious answer: some populations just sicker, and with fewer social resources to maintain or restore health. What looks like waste to you, is needed care to another.