New Study Examines Financial Health of Hospitals After Recession

A new AHRQ-funded study examines the financial health of almost 3,000 hospitals across the country. “Hospital Financial Performance in the Recent Recession and Implications for Institutions That Remain Financially Weak” was published May 5 online in Health Affairs. Overall, the study findings imply that the recession did not appear to have a permanent effect on the vulnerable hospitals studied, according to theabstract and article. Hospitals that were financially weak before the recession maintained their position compared with the financially strong. The recession did not create additional fiscal pressure for hospitals that were initially financially weak or in safety net roles, but both groups have financial deficiencies that could limit their resources for meeting growing demands on the industry. Financially strained hospitals may find it difficult to address policy changes and invest in innovations that can make patient care safer.