Capped payment system

In the United States, LTAC hospitals were expected to maintain a mean length of stay of >25 days. The number of LTAC hospitals has increased substantially to become one of the fastest-growing cost components of the U.S. Medicare program (10,16,17). As a consequence, there is now a capped payment system based on the assessment of the needs for patient care. 

Simplified systems for implementing direct payments allow decoupled payments for a transitional period if the administrative structures to manage the complicated EU system are not yet in place. This decoupled approach resembles elements of the European Commission s mid-term review proposals (EC 2002b). As in the existing EU, the new members will also benefit from rural development measures which could be financed by the EU up to 80 per cent. Relative to the budget of the first pillar of the CAP, the budget for rural development in the new member states will be higher than in the old member states. 

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