News and Document archive source
copyrighted material disclaimer at bottom of page

NewsMinenature-healthhealth — Viewing Item


Us health care spending surges again { January 9 2004 }

Original Source Link: (May no longer be active)
   http://www.nytimes.com/aponline/health/AP-Health-Care-Spending.html

http://www.nytimes.com/aponline/health/AP-Health-Care-Spending.html

January 9, 2004
U.S. Health Care Spending Surges Again
By THE ASSOCIATED PRESS

Filed at 8:21 a.m. ET

WASHINGTON (AP) -- Health care spending in the United States surged to $1.6 trillion in 2002 -- about $5,440 for every American -- and outpaced growth in the rest of the economy for a fourth straight year.

Hospital spending and prescription drug costs fueled the 9.3 percent increase over 2001, the federal Centers for Medicare and Medicaid Services said Thursday.

``This continued acceleration injects pressure into the health care system, and everyone -- from businesses, to government, to consumers -- is affected,'' Katharine Levit, a CMS official and the lead author of the report, said at a news conference.

Early indications, however, are that growth in spending slowed in 2003, according to the report, published in the journal Health Affairs.

``We are expecting some slowdown to occur ... as a result of the economic slowdown,'' Levit said.

The annual report analyzes spending trends in the public and private health care sectors.

The United States spends more per person than any other developed nation, according to the Organization for Economic Cooperation and Development. For 2001, this country spent 47 percent more per person than Switzerland, the second biggest spender per capita, the OECD said.

Sen. Edward M. Kennedy, D-Mass., said the report was evidence of ``the need for prompt action in controlling the costs of health care.'' He faulted the Bush administration for failing to act. The Health and Human Services Department, which oversees CMS, did not immediately provide a response.

Prescription drug spending remained the fastest-growing item in health care, although the rate of growth slowed slightly to 15.3 percent. Drug costs are expected to outstrip the overall growth in health care spending for the next 10 years, and that projection does not take into account the new Medicare prescription drug benefit that begins in 2006. Many economists believe the change will lead to an additional increase in costs.

In 2002, out-of-pocket spending for prescription drugs increased because of changes in drug insurance coverage that shifted costs to consumers.

Hospital spending rose 9.5 percent, reflecting increasing use of hospital services, rising wages of hospital workers and hospitals' growing ability to negotiate prices with private insurance plans, the report said.

The resurgence in hospital spending growth follows the expansion of managed care insurance plans in the mid-1990s that clamped restrictions on hospital stays.

Out-of-pocket spending actually continued its long decline as a percentage of overall spending -- from 21 percent in 1988 to 13.7 percent in 2002 -- mainly a result of the expansion of covered services in insurance plans.

The recession, however, increased financial pressures on private employers and governments alike. The common response was to shift costs to employees and beneficiaries.

In particular, states already are imposing limits on the Medicaid program for the poor in an effort to restrain costs.

Similar shifts in the future could slow the rate of growth in health care spending, the report said. ``As consumers share more of the increases in cost, the value of health services will be more closely weighed against other purchases, underscoring the considerable value of some services and the discretionary nature of others,'' they wrote.

Private insurance accounted for $549.6 billion, or 35 percent of the total. Out-of-pocket spending and other private sources, including philanthropy, made up 19 percent, or $290 billion.

Public funds paid $713.4 billion, led by the Medicare and Medicaid programs.

The biggest factor in Medicaid growth was a small increase in older and disabled recipients, who account for a disproportionate share of spending.

The report said spending in Medicare has grown more slowly than in private insurance, but noted the difficulty of comparing the relatively static Medicare program with private insurance plans ``that have responded to consumers' demands for more costly, less tightly managed plans.''

^------

On the Net:

Health Affairs: www.healthaffairs.org



Copyright 2004 The Associated Press


antibiotics
babies
cancer
cellphones
colawars
diet
drugs
obesity
smoking
toxins
1 in 3 americans have high blood pressure
1 in 3 kids 00 develop diabetes { June 15 2003 }
12 dangerous dietary supplements
Acupuncture helps arthritic knees
Alzheimers cases top 13m by 2050 { August 19 2003 }
Americans searching for pain relief { May 9 2005 }
Americans sicker than brits with more on health care { May 3 2006 }
Americans want universal health care
Antidepressants linked suicides { October 27 2003 }
Antioxidant rich foods preserve vision
Avoid drugs for migraine relief { May 4 2006 }
Beef business creates anti vegan study { February 21 2005 }
Black health worst condition { October 12 2003 }
Bran diet lowers risk of heart disease
Breastfeeding fights arthritis
Breastfeeding fights diabetes in mother
Britain leads the world in anti depressants
Britiain US worst western nations for children
Burger king down
Carpal tunnel from mouse not keyboard { June 17 2003 }
Chlorine in pools damages lungs
Cholesterol drugs not having effect
Cholesterol inhibitors in garlic identified
Chopsticks can be harmful
Dangerous dietary supplements { April 7 2004 }
Dark chocolate aids blood flow { August 29 2004 }
Dark chocolate health benefits { June 1 2004 }
Depression pills { May 7 2002 }
Doctors calls for national health insurance { August 12 2003 }
Doctors rally around universal health care
Drinking can shrink the brain { December 8 2003 }
Excercise generates new stem cells and vessels { September 5 2007 }
Exercise helps elderly mental sharpness
Exercise helps the brain work better
Facts on soy { April 13 2004 }
Faster aging with obesity and smoking { June 15 2005 }
Fats not increase stroke risk { October 3 2003 }
Federal warning on tuna mercury danger { December 11 2003 }
Fiber benefit found { May 2 2003 }
Floride linked low iq { August 25 2003 }
Garlic study may give herb a boost
German doctor cures aids with garlic and olive oil { November 29 2005 }
Girls meat milk dioxin warning
Green tea may prevent hiv { November 10 2003 }
Headphones use causes hearing loss
Heavy lifting protects heart
Heavy social drinkers show brain damage
High blood pressure up { July 9 2003 }
High lead found in boston water { April 28 2004 }
Hormone treated beef is dangerous to human health { October 16 2003 }
Hospital tries to remove mcdonalds from premises
Indians heart attack
Irradiated meat
Lead scare prompts EPA review of rules { July 23 2004 }
Loud music can damage lungs
Mcdonalds closes 175 { November 8 2002 }
Mcdonalds fries contain potential allergens
Mcdonalds lawsuit dismissed { January 22 2003 }
Mcdonalds lied again about its french fries
Mcdonalds meat fries { May 24 2001 }
Mcdonalds trans acids
Medical injuries kill 32000 annually
Milk and redmeat inflamation { September 29 2003 }
More evidence vegetarian diet may stop cancer
Ms vd
Neurologist helps people understand migraine triggers { April 27 2006 }
New study says slouching is better sitting
Nine heart risk factors { August 30 2004 }
Pills no proven to provide benefits from vegetables
Prozac may stunt growing bones
Salmon dye must be labeled { May 2 2003 }
Salmonella [pdf]
Sanitation is greatest medical milestone { January 18 2007 }
Seeds of dementia sown in midlife health diet lifestyle
Soy best for lowering cholesterol
Soy thyroid function
Stress can cause common cold or cancer
Study links drinking brain tissue loss
Supplements work
Survey finds millions new drug abusers
Sushi tuna found to have dangerous mercury levels { January 23 2008 }
Toddlers tv watching linked to attention deficit { April 5 2004 }
Tomato juice may stave off heart troubles { August 22 2004 }
Toxic mercury in environment causing autism { March 17 2005 }
Trans fats worse saturated fats { July 9 2003 }
Uncooked foods healthier { July 17 2000 }
Us health care spending surges again { January 9 2004 }
Vegan sues mcdonalds over french fries again { February 17 2006 }
Vitamins and calcium help pms symptons { June 17 2005 }
Watching TV causes hormone imbalance { June 28 2004 }
Wifi may endanger childrens health { April 22 2007 }

Files Listed: 91



Correction/submissions

CIA FOIA Archive

National Security
Archives
Support one-state solution for Israel and Palestine Tea Party bumper stickers JFK for Dummies, The Assassination made simple