From the abstract:
Background: Hospitals face increasing pressure to lower cost of care while improving quality of care. It is unclear if efforts to reduce hospital cost of care will adversely affect quality of care or increase downstream inpatient cost of care.
Conclusions: The associations are inconsistent between hospitals’ cost of care and quality of care and between hospitals’ cost of care and mortality rates. Most evidence did not support the “penny wise and pound foolish” hypothesis that low-cost hospitals discharge patients earlier but have higher readmission rates and greater downstream inpatient cost of care.
Decreasing Hospital Costs While Maintaining Quality: Can It Be Done?