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A Decrease in Medicare and Medicaid Funds and an Increase in Nurses

A Decrease in Medicare and Medicaid Funds and an Increase in Nurses


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Dorothy Seleski
For hospitals in America, the most significant issue continues to be the recession. Hospitals around the country have seen elective procedures and admissions drop. With shrinking tax bases, more and more states are cutting Medicaid benefits or payments to balance their budgets. Coupled with increasing numbers of unemployed and, therefore, uninsured, the result is a projected 1.6% dip in hospital revenue, and nearly 40% of hospitals are expecting to lose money in the first part of 2009, according to a survey conducted by the American Hospital Association (AHA).