Why Planned Parenthood Won’t Provide Mammograms
Posted in the Abortion Forum
#1 Oct 25, 2012
October 24, 2012
** Why doesn’t Planned Parenthood just offer mammograms? Doing so would do real good while saving their public defenders from credibility diminishing lies.
The answer may lie in what economists call the “contribution margin.” The contribution margin of each procedure is the marginal profit per unit of sale and thus the amount each procedure contributes to the coverage of fixed costs (such as executive compensation) and to profits.
The problem for Planned Parenthood—which thinks and acts much more like a business than most people realize—is that mammograms are much less profitable than the relatively lucrative procedure of abortion....
The American College of Radiology (ACR) conducted a survey that ... found that the actual cost to perform a screening mammogram was $93.98. With the typical reimbursement rate of approximately $80, it is clear that the hospital lost money for each screening exam performed....
If Planned Parenthood were to perform mammograms, we could assume a contribution margin—that is, contribution to profit—of $3.51 per procedure. This is reflective of the average of Dr. Newstead’s hospital and freestanding center margins of a $13.98 loss and a $21.00 profit, respectively. Even this may be generous, particularly given Dr. Newstead’s comments about mammography losses and the fact that many industry experts describe the modality as unprofitable.
** How profitable is abortion? Two scenarios can be used to estimate Planned Parenthood’s abortion contribution margin, Scenario A and Scenario B. In both scenarios, 330,000 annual abortions were assumed.
The retail price of an abortion is $500 to $900. The $500 floor was documented some years ago, and is the price that was used in Scenario A. Planned Parenthood’s Hudson-Peconic clinic quotes an online price of $900 for a sixteen- to seventeen-week in-clinic abortion. A $900 price was used in Scenario B.
These medical service expenses totaled $699 million in the most recently reported period. Two methods are used to allocate that expense to Planned Parenthood’s abortions. In Scenario A, Planned Parenthood’s own estimate of abortions as 3 percent of services is used. In Scenario B, a 5 times higher expense allocation of 15 percent is assumed.
This 15 percent expense estimate is conservative because abortion doctors use low-cost vacuums and garbage bags; forceps and scissors are reused; and (unlike a mammogram) an abortion’s result requires little in the way of interpretation or follow-up. Planned Parenthood makes about $400 to $600 per abortion. Scenario A’s $500 sale price and 3 percent cost allocation results in a contribution margin of $436 per abortion. Scenario B’s $900 sale price and 15 percent cost allocation results in a contribution margin of $582 per abortion.
Abortion is 125 to 165 times more profitable than mammography. Given a choice between 330,000 mammograms or 330,000 abortions, cancer screening will lose every time. Life, love, families, faith, concern for our most vulnerable, presidential credibility: Abortion’s altar demands many sacrifices. There is no reason to believe mammograms are exempt. Mammograms were invented over forty years ago and Planned Parenthood still doesn’t offer them because, in comparison, abortion is a gold mine....
Cecile Richards earns about $400,000 per year, her directors and top lieutenants are clearing $200,000 to $300,000 each, and ten clinic administrators make over $260,000 each. For forty years and counting, these executives have shown no inclination to offer mammograms. The simple reason is that economics have prevailed.
#2 Oct 25, 2012
A Floridian writes:
"I had a little fun one time by calling Planned Parenthood and asking them if they did family planning.“Oh, yes!” they said.
I then told them that my wife and I were planning on having ten children, and asked them if they had a plan for that. The woman was dumbfounded and responded in the negative.
I kept dropping the number to see if they had any plans, until I finally asked,“If you don’t help people plan families, then what do you do?” That was followed by a litany of birth control and abortion statements, to which I replied,“So, what you are telling me is that you don’t do family planning, you do planning for not having a family??”
It was really an amusing conversation. I recommend it to everyone wanting to have a litttle fun."
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