Additionally, by knowing the profitability associated with different types of care, ACOs could go a step further: they could securitize.

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Similarly in business, if a senior biopharma executive was forced every day to step through even of fraction of the actual complexity of the science associated with every product, it would be overwhelming, and make decision-making all but impossible.

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In 2002, the FDA warned consumers about reports of liver damage associated with kava, but the agency stopped short of pulling the product from shelves -- a step that public health officials in other countries have taken.

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However, because this is such a novel approach to mitigating the risk associated with medical care and with profiting from making care more efficient, other regulatory bodies are bound to step in.

FORBES: Securitizing Your Health With ACOs

The first step is corporatization, which makes the service subject to the standard set of corporate laws and norms associated with a large commercial entity.

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