The Cost of Inpatient and Outpatient Care Drives High Health Spending in the U.S. Relative to Other Countries, New Analysis Finds

KFF October 1, 2020

A new KFF issue brief compares the main drivers of health spending in the United States and other large, wealthy countries, and finds that the cost of inpatient and outpatient care – much more so than prescription drugs or administrative costs – drives high per capita health spending in the U.S.

In 2018, the U.S. spent $10,637 on health per person – nearly twice as much as other comparably large and wealthy countries. The analysis finds that the U.S. spent $3,906 more per person on inpatient and outpatient care than the comparable country average – an amount that accounts for over three-quarters (76%) difference in total health spending between the U.S. and the comparable country average.

While American policymakers have...

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