While the state’s largest hospitals say new proposed caps on how fast hospital prices can increase will hurt them, smaller hospitals see it as a way of evening the playing field.

Gov. Charlie Baker’s fiscal 2018 budget would impose strict caps on growth for majority of providers in the state. As of next year, providers would be grouped into one of three tiers based on commercial insurance rates. Providers with the lowest rates would not have any kind of cap. Providers with mid-tier rates would…