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September 26, 1966


JAMA. 1966;197(13):33-35. doi:10.1001/jama.1966.03110130011003

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Medical Costs—  The federal investigation of medicalhospital cost rises will not lead to efforts to impose controls on fees by physicians and hospitals, according to William Gorham, Assistant Secretary of Health, Education and Welfare.Gorham was named to head the study after President Johnson directed an investigation of price rises in the medical field this year.The HEW official said he did not see a remote possibility of the investigation leading to federal price controls. He said he has seen no indication of wild inflation in the field of the kind that would lead to public demand for governmental controls.The study should be completed within two or three months, Gorham said, adding that he hopes it will result in findings that could lead to actions to alleviate pressures that force medical costs up.Most of the cost increase has been in hospital charges which have risen steadily in recent