Should the State Pay Hospitals That Won't Induce Labor?

More than four years ago, the Seton family of hospitals stopped inducing labor in women who wanted to have their babies before full term, a move its doctors say prevents expensive complications that can accompany early births. Trouble is, that decision also cost Seton millions of dollars — those women now have babies elsewhere — and so it wants the Legislature to stanch the balance-sheet bleeding by approving extra public financing for any hospital with such a policy.

The issue raises sensitive questions about government management of both patient choice and the medical marketplace. While Seton asserts its competitors put mothers and ...

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