«
»

Share of Cost, If Slow Rate Of Health Care Spending Growth Persists, Projections May Be Off By $770 Billion

Sunday, Jan. 19th 2014 12:30 PM

Despite earlier forecasts to the contrary, US health care spending growth has slowed in the past four years, continuing a trend that began in the early 2000s. This article  attempts to identify why US health care spending growth has slowed, and we explore the spending implications if the trend continues for the next decade. In  the 2007–09 recession, a one-time event, accounted for 37 percent of the slowdown between 2003 and 2012. A decline in private insurance coverage and cuts to some Medicare payment rates accounted for another 8 percent of the slowdown, leaving 55 percent of the spending slowdown unexplained.  It was concluded that a host of fundamental changes—including less rapid development of imaging technology and new pharmaceuticals, increased patient cost sharing, and greater provider efficiency—were responsible for the majority of the slowdown in spending growth. If these trends continue during 2013–22, public-sector health care spending will be as much as $770 billion less than predicted. Such lower levels of spending would have an enormous impact on the US economy and on government and household finances.

Related posts:

  1. Share of Cost, The Slowdown In Health Care Spending In 2009-11 Reflected Factors Other Than The Weak Economy And May Continue To Persist Share of Cost, The Slowdown In Health Care Spending In 2009-11 Reflected Factors Other Than The Weak Economy And May Continue To Persist ...
  2. Share of Cost, Additional Reductions In Medicare Spending Growth Will Likely Require Shifting Costs To Beneficiaries Share of Cost, Additional Reductions In Medicare Spending Growth Will Likely Require Shifting Costs To Beneficiaries ...
  3. Recession Contributes To Slowest Annual Rate Of Increase In Health Spending In Five Decades In 2009, US health care spending grew 4.0 percent—a historically low rate of annual increase—to $2.5 trillion, or $8,086 per person. Despite the slower growth, the share of the gross domestic product devoted to health spending increased to 17.6 percent in 2009 from 16.6 percent in 2008. The growth rate of health spending continued to outpace the growth of the […]...
  4. Share of Cost, Large Increases In Spending On Postacute Care In Medicare Point To The Potential For Cost Savings In These Settings Share of Cost, Large Increases In Spending On Postacute Care In Medicare Point To The Potential For Cost Savings In These Settings ...
  5. Share of Cost, Slow Going For The Global Health Initiative The program of US foreign assistance to advance health and health care in developing countries survived the 2011 budget battles, but it continues to face other challenges....
  6. Individual Insurance Benefits to be Available Under Health Reform Would Have Cut Out-Of-Pocket Spending In 2001-08 Individual Insurance Benefits to be Available Under Health Reform Would Have Cut Out-Of-Pocket Spending In 2001-08 ...
  7. Share of Cost, Public Financing Of The Medicare Program Will Make Its Uniform Structure Increasingly Costly To Sustain Share of Cost, Public Financing Of The Medicare Program Will Make Its Uniform Structure Increasingly Costly To Sustain ...
  8. Nudging small business to provide health care, share of cost Much of the landmark Affordable Care Act won’t kick in until 2014, but one big component starts this year: federal tax credits for small businesses that provide their employees health care.  Mike Colias of Crain’s Chicago Business relays a report by the D.C-based Families USA that 159,900 companies in Illinois are eligible for a federal […]...
  9. Accountable Care Organizations: The Case For Flexible Partnerships Between Health Plans And Providers Under the Affordable Care Act, the new Center for Medicare and Medicaid Innovation will guide a number of experimental programs in health care payment and delivery. Among the most ambitious of the reform models is the accountable care organization (ACO), which will offer providers economic rewards if they can reduce Medicare’s cost growth in their […]...
  10. Share of Cost, Autistic Adults Report Significant Shortcomings in Their Health Care Share of Cost, Autistic Adults Report Significant Shortcomings in Their Health Care...
  11. Increase In Drinking Trends For Whites, Blacks And Hispanics Given that Whites are the majority population in the United States, drinking trends for this group tend to determine overall trends in drinking for the country and simultaneously minimize trends and possible risks among Black and Hispanic populations…...
  12. Medicare And Medicaid Spending Variations are Strongly Linked Within Hospital Regions But Not at Overall State Level Medicare And Medicaid Spending Variations are Strongly Linked Within Hospital Regions But Not at Overall State Level...
  13. Share of Cost, New Health Care Rule Gives Consumers Better Ways to Compare Health Care Options in 2014 Share of Cost, New Health Care Rule Gives Consumers Better Ways to Compare Health Care Options in 2014...
  14. State Spending on Dual Eligibles Under Age 65 Shows Variations, Evidence Of Cost Shifting From Medicaid To Medicare State Spending on Dual Eligibles Under Age 65 Shows Variations, Evidence Of Cost Shifting From Medicaid To Medicare...
  15. Consumers’ and Providers’ Responses to Public Cost Reports, and How to Raise the Likelihood of Achieving Desired Results Consumers' and Providers' Responses to Public Cost Reports, and How to Raise the Likelihood of Achieving Desired Results ...
Posted on Sunday, Jan. 19th 2014 12:30 PM | by Share of Cost | in Share of Cost | Comments Off on Share of Cost, If Slow Rate Of Health Care Spending Growth Persists, Projections May Be Off By $770 Billion