The proposed merger would bring together NYU Langone Medical Center, a
highly specialized academic medical center, and Continuum Health
Partners, a network of several community-oriented hospitals, including
Beth Israel and the two St. Luke’s-Roosevelt campuses.
It would create one of the largest health care systems in New York City,
one that would have immense market power under the new federal health
care system, and put pressure on insurance companies, independent
medical practices and even rival medical schools, which may have to
scramble to find places to train their students.
The true challenge is to insurance companies since these mega providers can become their own insurers. Theoretically the overhead gets absorbed into the institution and again putatively it should be more efficient. But we know what happens with oligopolies, less efficiencies and more mega mergers.
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