In comparison to the last few years, some might say 2023 was rather uneventful for dentistry. Inflation cooled down from a staggering 8.0% in 2022 to a more reasonable 3.4% rate in 2023, as the Federal Reserve hiked rates. The stock market, led by the Magnificent 7, registered substantial gains as well, wiping out most of the losses suffered during a turbulent 2022.

While this was a positive for those who’ve been saving, patients continued to feel a disconnect between the economy and their pocketbook. Even though inflation rates declined, elevated housing, energy, and grocery prices stretched patients’ budgets thin and higher interest rates made matters worse. This disparity could be one of the reasons PPO participation and new patient flow continues to widen between practices.