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Screening Through Soft Spending Limits: Evidence from the Medicare Therapy Cap

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NBER2025-04-01 更新2025-05-03 收录
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Governments and firms often use soft spending limits to curb overspending while allowing exceptions. We study a Medicare policy that capped per-patient physical therapy spending with exceptions for documented medical need. By screening out low-value care, the cap reduced spending by 8 percent

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2025-04-01
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