Healthcare Spending: Have We Reached a Tipping Point?

Last week, the Centers for Medicare & Medicaid Services (CMS) released its report on National Health Expenditures (NHE) for 2017. The highlights were:

• Total national spending on healthcare in 2017 hit $3.492 trillion, an increase of 3.9% over 2016 and the slowest annual rate of growth since 2013.

• As a percentage of gross domestic product (GDP), spending was down slightly from 18% in 2016 to 17.9% in 2017.

• Per capita spending hit its highest level yet, at $10,739 per person.

• The government’s share of total spending remained unchanged at 45%: federal (28%) and state and local governments (17%).

• Medicare now accounts for 20% of NHE. On a...