Economic organization of medicine and the Committee on the Costs of Medical Care

American Journal of Public Health

Volumn 88, Issue 11, 1998, Pages 1721-1726

  Perkins, Barbara Bridgman ^a  

^a NONE   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

ARTICLE; FINANCIAL MANAGEMENT; HEALTH CARE COST; HEALTH CARE ORGANIZATION; HEALTH CARE POLICY; HEALTH ECONOMICS; MANAGED CARE; MEDICAL FEE; MEDICAL PRACTICE; MEDICAL SOCIETY; UNITED STATES;

EID: 0031739505     PISSN: 00900036     EISSN: None     Source Type: Journal    
DOI: 10.2105/AJPH.88.11.1721     Document Type: Article

References (106)

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3. Elizabeth Fee, "The Social History of the Hospital: From Charity Care to the Management of Medicine: A Review Essay," Radical History Review 28-30 (1984): 472-481; Dorothy Porter, "The Mission of Social History of Medicine: An Historical View," Social History of Medicine 8 (1995): 345-359.
4. Forrest A. Walker, "Americanism versus Sovietism: A Study of the Reaction to the Committee on the Costs of Medical Care," Bulletin of the History of Medicine 53 (1979): 489-504; Stephen J. Kunitz, "Efficiency and Reform in the Financing and Organization of American Medicine in the Progressive Era," Bulletin of the History of Medicine 55 (1981): 497-515; Douglas R. Parks, Expert Inquiry and Health Care Reform in New Era America: Herbert Hoover, Ray Lyman Wilbur, and the Travails of the Disinterested Experts (Ann Arbor, Mich.: UMI Dissertation Services, 1994).
5. Forrest A. Walker, "Americanism versus Sovietism: A Study of the Reaction to the Committee on the Costs of Medical Care," Bulletin of the History of Medicine 53 (1979): 489-504; Stephen J. Kunitz, "Efficiency and Reform in the Financing and Organization of American Medicine in the Progressive Era," Bulletin of the History of Medicine 55 (1981): 497-515; Douglas R. Parks, Expert Inquiry and Health Care Reform in New Era America: Herbert Hoover, Ray Lyman Wilbur, and the Travails of the Disinterested Experts (Ann Arbor, Mich.: UMI Dissertation Services, 1994).
6. Forrest A. Walker, "Americanism versus Sovietism: A Study of the Reaction to the Committee on the Costs of Medical Care," Bulletin of the History of Medicine 53 (1979): 489-504; Stephen J. Kunitz, "Efficiency and Reform in the Financing and Organization of American Medicine in the Progressive Era," Bulletin of the History of Medicine 55 (1981): 497-515; Douglas R. Parks, Expert Inquiry and Health Care Reform in New Era America: Herbert Hoover, Ray Lyman Wilbur, and the Travails of the Disinterested Experts (Ann Arbor, Mich.: UMI Dissertation Services, 1994).
7. Committee on the Cost of Medical Care (CCMC), The Five-Year Program of the Committee on the Cost of Medical Care (Report No. 1) (Washington, D.C.: CCMC, 1928).
8. Harry H. Moore, American Medicine and the People is Health (New York: D. Appleton, 1927).
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10. "Minutes of a Meeting of The Committee on the Cost of Medical Care," 18 May 1927, Washington, D.C., Wilbur papers. Following a lengthy discussion on the implications of different names, an "s" was added to "cost" in 1930.
11. Daniel M. Fox, Health Policies, Health Politics: The British and American Experience, 1911-1965 (Princeton, N.J.: Princeton University Press, 1986), 46.
12. I use CCMC publications and the writings of its leaders and staff to identify goals and concepts of "the committee" and identify separately the views of the dissenting minority. As Parks noted, the work was "primarily directed by the executive committee and the research staff, not by the general committee" (Expert Inquiry, 222).
13. "Conference on the Economic Factors Affecting the Organization of Medicine," 17 May 1927, Washington, D.C. Wilbur papers.
14. Michael M. Davis and C. Rufus Rorem, The Crisis in Hospital Finance: And Other Studies in Hospital Economics (Chicago: University of Chicago Press, 1932).
15. Haven Emerson, C. Rufus Rorem, and Louis Reed, "The Problem of Medical Care: A Statement and Analysis of the Deficiencies of the Present Economic Organization of Medicine," part of a confidential report to the Executive Committee, 23 November 1931, 25, Countway Library of Medicine Historical Collection, Boston.
16. CCMC, Five-Year Program, 10-11.
17. I. S. Falk, C. Rufus Rorem, and Martha D. Ring, The Costs of Medical Care: A Summary of Investigations on the Economic Aspects of the Prevention and Care of Illness (Report No. 27) (Chicago: University of Chicago Press, 1933), 384-387.
18. Paul Starr, The Social Transformation of American Medicine (New York: Basic Books, 1982), 199, 264-265.
19. Rosemary Stevens, In Sickness and in Wealth: American Hospitals in the Twentieth Century (n.p.: Basic Books, 1989), 135.
20. Walker, "Americanism versus Sovietism."
21. Steven A. Schroeder, "Group Practice Recommendations of the Committee on the Costs of Medical Care," Health and Society 56 (1978): 169-186.
22. Kunitz, "Efficiency and Reform."
23. Roger M. Battistella and David B. Smith, "Control of Health Services," in Health Care Policy in a Changing Environment, ed. Roger M. Battistella and Thomas G. Rundall (Berkeley, Calif.: McCutchan, 1978), 194-252.
24. Daniel M. Fox, "History and Health Policy: An Autobiographical Note on the Decline of Historicism," Journal of Social History 18 (1985): 349-364.
25. Daniel M. Fox, "From Reform to Relativism: A History of Economists and Health Care," Health and Society 51 (1979): 297-336.
26. Davis and Rorem, Crisis in Hospital Finance, 173.
27. Alfred D. Chandler, The Visible Hand: The Managerial Revolution in American Business (Cambridge: Harvard University Press, 1977); Michael J. Piore and Charles F. Sabel, The Second Industrial Divide: Possibilities for Prosperity (New York: Basic Books, 1984).
28. Alfred D. Chandler, The Visible Hand: The Managerial Revolution in American Business (Cambridge: Harvard University Press, 1977); Michael J. Piore and Charles F. Sabel, The Second Industrial Divide: Possibilities for Prosperity (New York: Basic Books, 1984).
29. Robert H. Wiebe, The Search for Order, 1877-1920 (New York: Hill and Wang, 1967); Louis Galambos, "The Emerging Organizational Synthesis in Modern American History," Business History Review 44 (1970): 279-290; Daniel T. Rodgers, "In Search of Progressivism," Reviews in American History 10 (1982): 113-132.
30. Robert H. Wiebe, The Search for Order, 1877-1920 (New York: Hill and Wang, 1967); Louis Galambos, "The Emerging Organizational Synthesis in Modern American History," Business History Review 44 (1970): 279-290; Daniel T. Rodgers, "In Search of Progressivism," Reviews in American History 10 (1982): 113-132.
31. Robert H. Wiebe, The Search for Order, 1877-1920 (New York: Hill and Wang, 1967); Louis Galambos, "The Emerging Organizational Synthesis in Modern American History," Business History Review 44 (1970): 279-290; Daniel T. Rodgers, "In Search of Progressivism," Reviews in American History 10 (1982): 113-132.
32. David W. Noble, The Paradox of Progressive Thought (Minneapolis: University of Minnesota Press, 1958); Martin J. Sklar, The Corporate Reconstruction of American Capitalism, 1890-1916: The Market, the Law, and Politics (Cambridge, England: Cambridge University Press, 1988).
33. David W. Noble, The Paradox of Progressive Thought (Minneapolis: University of Minnesota Press, 1958); Martin J. Sklar, The Corporate Reconstruction of American Capitalism, 1890-1916: The Market, the Law, and Politics (Cambridge, England: Cambridge University Press, 1988).
34. Guy Alchon, The Invisible Hand of Planning: Capitalism, Social Science, and the State in the 1920s (Princeton, N.J.: Princeton University Press, 1985), 131.
35. Ellis W. Hawley, "Secretary Hoover and the Bituminous Coal Problem, 1921-1928," Business History Review 42 (1968): 247-270.
36. Murray N. Rothbard, "Herbert Hoover and the Myth of Laissez-Faire," in A New History of Leviathan, ed. Ronald Radosh and Murray N. Rothbard (New York: E. P. Dutton, 1972), 111-145.
37. Guy Alchon, "Mary Van Kleek and Scientific Management," in A Mental Revolution: Scientific Management since Taylor, ed. Daniel Nelson (Columbus: Ohio State University Press, 1992), 102-129. Abraham Flexner had a similar view of foundations and planning; see Steven C. Wheatley, The Politics of Philanthropy (Madison: University of Wisconsin Press, 1988), 114. According to Michael Davis, Hoover was not invited to the CCMC's publicity meeting, which assembled a "battery of heavyweights" in November, 1932, because "he might accept" (note from MMD [presumably Michael M. Davis] to ERE [Edwin R. Embree, director of the Julius Rosenwald Fund], internal routing slip, 18 June 1932, Michael Marks Davis Papers, Historical Collection, New York Academy of Medicine Library (hereafter called "Davis papers").
38. Guy Alchon, "Mary Van Kleek and Scientific Management," in A Mental Revolution: Scientific Management since Taylor, ed. Daniel Nelson (Columbus: Ohio State University Press, 1992), 102-129. Abraham Flexner had a similar view of foundations and planning; see Steven C. Wheatley, The Politics of Philanthropy (Madison: University of Wisconsin Press, 1988), 114. According to Michael Davis, Hoover was not invited to the CCMC's publicity meeting, which assembled a "battery of heavyweights" in November, 1932, because "he might accept" (note from MMD [presumably Michael M. Davis] to ERE [Edwin R. Embree, director of the Julius Rosenwald Fund], internal routing slip, 18 June 1932, Michael Marks Davis Papers, Historical Collection, New York Academy of Medicine Library (hereafter called "Davis papers").
39. Alchon, Invisible Hand, 39,73,131.
40. Fox, Health Policies, Health Politics, 47-48.
41. Lucy Sprague Mitchell, Two Lives: The Story of Wesley Clair Mitchell and Myself (New York: Simon and Schuster, 1953), 396.
42. President's Research Committee on Social Trends, "Review of Findings," in Recent Social Trends in the United States (New York: McGraw-Hill, 1934), lvi. Lucy Sprague Mitchell attributed the unsigned introduction to Mitchell (Two Lives, 367).
43. Ray Lyman Wilbur, "The Trouble with Doctors," as told to Frank J. Taylor of the Post, draft copy sent for approval, n.d., Wilbur papers.
44. C. Rufus Rorem, Capital Investment in Hospitals (Report No. 7) (Washington, D.C.: CCMC, 1930), 10.
45. Davis and Rorem, Crisis in Hospital Finance, 63, 103.
46. C.-E. A. Winslow, "The Business of Medicine," Yale Review 21 (1931): 318-329.
47. Roger I. Lee, Lewis Webster Jones, and Barbara Jones, The Fundamentals of Good Medical Care (Report No. 22) (Chicago: University of Chicago Press, 1933), 111.
48. Parks, Expert Inquiry.
49. Haven Emerson and Gertrude E. Sturges, "Method of Making a Community Diagnosis," Method of Survey, Part 11 (Cleveland: Cleveland Hospital and Health Survey, 1920), 1003.
50. Haven Emerson, Louis I. Reed, and C. Rufus Rorem, "Some Tentative Conclusions and Recommendations Based upon the Work of the Committee on the Costs of Medical Care," part of a confidential report to the Executive Committee, 23 November 1931, 3, Davis papers.
51. Morris J. Vogel, The Invention of the Modern Hospital: Boston, 1870-1930 (Chicago, University of Chicago Press, 1980); David Rosner, A Once Charitable Enterprise: Hospitals and Health Care in Brooklyn and New York, 1885-1915 (Cambridge, England: Cambridge University Press, 1982).
52. Morris J. Vogel, The Invention of the Modern Hospital: Boston, 1870-1930 (Chicago, University of Chicago Press, 1980); David Rosner, A Once Charitable Enterprise: Hospitals and Health Care in Brooklyn and New York, 1885-1915 (Cambridge, England: Cambridge University Press, 1982).
53. Charles E. Rosenberg, The Care of Strangers: The Rise of America's Hospital System (New York: Basic Books, 1987), 347.
54. David Rosner, "Heterogeneity and Uniformity: Historical Perspectives on the Voluntary Hospital," in In Sickness and in Health: The Mission of Voluntary Health Care Institutions, ed. J. David Seay and Bruce C. Vladeck (New York: McGraw-Hill, 1988), 87-125.
55. Julius Rosenwald, "Hospitals from a Business Man's Point of View," Transactions of the American Hospital Association 32 (1930): 106-111.
56. Niles Carpenter, Hospital Service for Patients of Moderate Means (Report No. 4) (Washington, D.C.: CCMC, 1930), 47.
57. CCMC, Medical Care for the American People (Final Report) (Chicago: University of Chicago Press, 1932), 28.
58. Medical Care for the American People, 53-59.
59. C. Rufus Rorem, The Public's Investment in Hospitals (Chicago: University of Chicago Press, 1930).
60. CCMC, Medical Care for the American People, 28.
61. Bureau of Medical Economics, An Introduction to Medical Economics (Chicago: American Medical Association, 1935), 17, 21-23.
62. R. G. Leland, "Prepayment Plans for Hospital Care," Journal of the American Medical Association 100 (1933): 870-873.
63. Bureau of Medical Economies, Medical Economics, 22-23.
64. Walton H. Hamilton, "Statement," in Medical Care for the American People, 189-200.
65. Davis and Rorem, Crisis in Hospital Finance, 69.
66. Dorothy Ross, The Origins of American Social Science (Cambridge, England: Cambridge University Press, 1991), 378-382; Walton H. Hamilton, "Organization, Economic," in Encyclopaedia of the Social Sciences, vol. 8, ed. Edwin R. A. Seligman (New York: Macmillan, 1937), 484-490.
67. Dorothy Ross, The Origins of American Social Science (Cambridge, England: Cambridge University Press, 1991), 378-382; Walton H. Hamilton, "Organization, Economic," in Encyclopaedia of the Social Sciences, vol. 8, ed. Edwin R. A. Seligman (New York: Macmillan, 1937), 484-490.
68. Falk, Rorem, and Ring, Costs of Medical Care, 324.
69. Carpenter, Patients of Moderate Means, 45; Rorem, The Public's Investment in Hospitals, 208-209.
70. Carpenter, Patients of Moderate Means, 45; Rorem, The Public's Investment in Hospitals, 208-209.
71. Davis and Rorem, Crisis in Hospital Finance, 5, 103.
72. Falk, Rorem, and Ring, Costs of Medical Care, 344.
73. Michael M. Davis, "Group Medicine," American Journal of Public Health 9 (1919): 358-362.
74. Lewellys F. Barker, "The Specialist and the General Practitioner in relation to Team-Work in Medical Practice," Journal of the American Medical Association 78 (1922): 773-779. (Quotation marks used in original.)
75. Lewellys F. Barker, "Group Diagnosis and Group Therapy," Illinois Medical Journal 39 (1921): 1-9.
76. C. Rufus Rorem, Private Group Clinics (Report No. 8) (Washington, D.C.: CCMC, 1931), 11, 20, 26, 36, 47, 59, 71.
77. Rorem, Private Group Clinics, 19.
78. Falk, Rorem, and Ring, Costs of Medical Care, 387.
79. CCMC, Medical Care for the American People, 109-110.
80. "Seven Major Questions," discussion paper for the Executive Committee Meeting, 12 and 13 April 1931, 22-28, Wilbur papers.
81. Lewellys F. Barker, "Investigations and Conclusions of the Committee on the Costs of Medical Care," Journal of the American Medical Association 100 (1933): 868-869.
82. "Minority Report Number One," Medical Care for the American People, 175.
83. Edward A. Filene, "Autocare versus Medical Care," Journal of the American Medical Association 93 (1929): 1247-1249.
84. Letter to Dr. Winslow from Evans Clark, 1 September 1931, Wilbur papers.
85. C. Rufus Rorem, "Developments in Group Medical Practice, American Journal of Public Health 48 (1958): 983-986. This interpretation has implications different from those of physicians' workshops.
86. CCMC, Medical Care for the American People, 112-113.
87. Michael M. Davis and Edward Hartshorn, "A Self-Supporting Eye Clinic for Working People," Archives of Ophthalmology 43 (1914): 643-646.
88. Andrew R. Warner, "The Evening Pay Clinic," Modern Hospital 11 (1918): 143-145.
89. Michael Davis, Hospitals and Dispensaries: Part 10 (Cleveland: The Cleveland Hospital Council, 1920), 870.
90. Michael M. Davis and Andrew R. Warner, Dispensaries: Their Management and Development (New York: Macmillan, 1918), 330.
91. Ralph E. Pumphrey, "Michael M. Davis and the Development of the Health Care Movement, 1900-1928," Societas 2 (1972): 27-41.
92. Carpenter, Patients of Moderate Means, 21-25.
93. Davis and Rorem, Crisis in Hospital Finance, 175.
94. Ellen C. Potter, "Developing Standards of Accounting and Administration," Modern Hospital 26 (1926): 389-394.
95. Rosenwald, "Business Man's Point of View."
96. CCMC, Five-Year Program, 13.
97. Carpenter, Patients of Moderate Means, 25, 44.
98. Carpenter, Patients of Moderate Means, 45.
99. Davis and Rorem, Crisis in Hospital Finance, 97-98, 129.
100. Davis and Rorem, Crisis in Hospital Finance, 108; Rorem, Public's Investment in Hospitals, 129-131, 211.
101. Davis and Rorem, Crisis in Hospital Finance, 108; Rorem, Public's Investment in Hospitals, 129-131, 211.
102. Davis and Rorem, Crisis in Hospital Finance, 115-116.
103. Emerson, Rorem, and Reed, "Problem of Medical Care," 28.
104. Davis and Rorem, Crisis in Hospital Finance, 170.
105. Michael M. Davis, "Methods and Technical Problems of the Committee on the Costs of Medical Care," American Statistical Association Journal 28 (1933): 92-97.
106. Everett A. Johnson, Montague Brown, and Richard L. Johnson, The Economic Era of Health Care: A Revolution in Organized Delivery Systems (San Francisco: Jossey-Bass, 1996), x.