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Capitation can be an effective reimbursement method for physicians as it provides a fixed payment per patient, encouraging efficient care management and preventive services. This model incentivizes providers to focus on overall patient health rather than individual service volume, potentially reducing unnecessary tests and procedures. However, it may also lead to concerns about under-treatment or limiting care if not managed properly. Overall, its effectiveness depends on the alignment of incentives and the quality of care delivered.

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1mo ago

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