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How the Impact of Artificial Intelligence on Health Care Costs Will Be Shaped by Policy and Management Choices.

Created on 27 Oct 2026

Authors

David Blumenthal, Meredith B Rosenthal

Published in

NEJM AI. Volume 3. Issue 8. Pages AIp2600447. Epub Jul 15, 2026.

Abstract

AbstractThe possible effects of health care artificial intelligence (AI) on aggregate health care expenditures in the United States are not commonly discussed. Though much uncertainty surrounds these effects, private and public actors can influence potential cost impacts now by attending to the laws of economics and dynamics of organizational behavior, which will affect how key actors adopt and use these new technologies. Public policy that promotes prospective budgeting and effective value-based payment - which encourages providers to share in the financial consequences of their decisions - is more likely than volume-based payment arrangements to result in use of AI for cost mitigation in health care. Similarly, organizations that share financial risk for care need to ensure that cost management is one of the priorities that govern their choice and implementation of health care AI applications. (Funded by Arnold Ventures.).

PMID:
42932557
Bibliographic data and abstract were imported from PubMed on 27 Oct 2026.

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