Why are blood centers not celebrating their success in meeting the blood needs of the United States?

Author:

Sutter Dan

Abstract

PurposeThis paper reviews the evidence presented in the HHS report and challenges its characterization of the state of the market. The recent US Department of Health and Human Services (HHS) report on the blood industry, Adequacy of the National Blood Supply, provides evidence of and acknowledges that the industry has successfully met demand for blood. And yet the tone and takeaway message of the report of the industry is on the verge of collapse.Design/methodology/approachThe approach of this paper is a critical review of the evidence presented in the HHS report as well as other recent analyses of the blood industry.FindingsWhile acknowledging the successful performance of the industry to date, the HHS report offers hypothetical disaster scenarios and a lack of centralized data as the main causes for concern. These criticisms ignore the satisfactory response of the industry to prior disasters and fail to recognize that centralized information is not necessary for the efficient operation of a decentralized industry.Originality/valueThis paper offers a fresh assessment of a report repeating prior forecasts of doom for an industry which to date has very successfully met the United States' demand for blood.

Publisher

Emerald

Reference17 articles.

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4. The cost of price incentives: An empirical analysis of motivation crowding-out;American Economic Review,1997

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