Medical Spending Growth and the Level of Insurance Spending
Health care spending has again become a serious concern in the United States. After slowing
somewhat in the mid-1990s, the growth of health spending has once again begun to outstrip economic
growth. In 2003, for example, national health expenditures grew twice as fast (6.2% adjusted for
inflation) as the overall economy (3.1%). Increased spending reflects, in part, advancement toward
better care and modern treatment; however, rising costs also price some Americans out of the health
care market and impose increasing burdens on taxpayers, wage earners, and employers.