International experiences on pay-for-performance programs and implications for China

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In the past decade, pay-for-performance (P4P) programs in the health care sector have been implemented throughout the world. These programs differ in their design, as they have different targets (hospitals or physicians) and different performance sectors incentivised. P4P has also been introduced to Chinese hospitals recently. This article reviews major P4P initiatives (programs of the U.K., U.S., France, etc.) and collects common design factors for analysis (targets, quality measures, incentive schemes, performance benchmarks, etc.). The pros and cons of each design factor are discussed, and some inevitable empirical pitfalls are also reviewed. It is anticipated that such international experiences can provide possible future reference for the Chinese hospital remuneration reform.

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