Oil costs can cause your expenses to slip out of control
Hospital Materials Management, June 1, 2008
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by Thomas W. MacVaugh, BSBE, MS
Thirty years ago, the U.S. economy and the healthcare industry suffered through their first major (although contrived) oil shortage.
Now we are facing our second shortage, and the political upheaval in the Middle East is once again the culprit. Significant changes in the global economy make this period of spiraling oil prices a serious economic condition.
Although no one in the United States is threatening a repeat of the long lines at gas stations, reincarnations of some of the less obvious effects of the oil crunch are bound to occur. These include cost increases in the healthcare sector and, in particular, healthcare provider organizations (HPO).
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