Figure J

Rise in health spending as a share of GDP is largely driven by prices, not use of health care: Inflation-adjusted health spending as a share of inflation-adjusted GDP, nominal health spending as a share of nominal GDP, and price indexes for GDP and health care, 1960–2016

Year Health spending, real Health spending, nominal Health care price index GDP price index
1960 9.39% 4.94% 1.000 1.000
1961 9.63% 5.03% 1.019 1.011
1962 9.91% 5.22% 1.036 1.023
1963 10.14% 5.38% 1.062 1.035
1964 10.60% 5.64% 1.086 1.051
1965 10.41% 5.80% 1.111 1.070
1966 10.28% 5.93% 1.155 1.100
1967 10.50% 6.15% 1.215 1.132
1968 10.81% 6.37% 1.283 1.180
1969 11.27% 6.56% 1.365 1.238
1970 11.93% 6.82% 1.462 1.304
1971 12.35% 6.99% 1.526 1.370
1972 12.56% 7.31% 1.584 1.429
1973 12.75% 7.45% 1.652 1.507
1974 13.28% 7.47% 1.797 1.642
1975 13.93% 7.55% 1.990 1.794
1976 13.78% 7.94% 2.173 1.893
1977 13.75% 8.24% 2.350 2.010
1978 13.66% 8.36% 2.545 2.152
1979 13.75% 8.48% 2.785 2.329
1980 14.20% 8.74% 3.114 2.539
1981 14.47% 9.06% 3.491 2.776
1982 14.78% 9.34% 3.882 2.949
1983 14.58% 9.57% 4.235 3.065
1984 13.86% 9.83% 4.552 3.174
1985 13.70% 10.04% 4.832 3.275
1986 13.67% 10.17% 5.122 3.341
1987 13.77% 10.44% 5.448 3.427
1988 13.75% 10.95% 5.862 3.546
1989 13.48% 11.37% 6.363 3.684
1990 13.70% 11.91% 6.899 3.821
1991 13.98% 12.26% 7.433 3.948
1992 13.88% 12.67% 7.946 4.038
1993 13.62% 12.96% 8.349 4.134
1994 13.25% 13.04% 8.671 4.222
1995 13.23% 13.13% 8.955 4.310
1996 13.09% 13.16% 9.159 4.389
1997 13.01% 13.20% 9.330 4.464
1998 13.02% 13.29% 9.500 4.512
1999 12.82% 13.37% 9.720 4.581
2000 12.85% 13.44% 9.999 4.685
2001 13.44% 13.76% 10.351 4.792
2002 13.98% 14.43% 10.646 4.866
2003 14.07% 14.97% 11.029 4.963
2004 14.06% 15.24% 11.420 5.099
2005 14.03% 15.38% 11.781 5.263
2006 14.09% 15.57% 12.149 5.425
2007 14.24% 15.84% 12.549 5.570
2008 14.60% 15.95% 12.881 5.679
2009 15.28% 16.22% 13.242 5.722
2010 15.08% 16.52% 13.600 5.792
2011 15.21% 16.58% 13.889 5.911
2012 15.18% 16.71% 14.175 6.020
2013 15.11% 16.69% 14.350 6.117
2014 15.28% 16.97% 14.554 6.227
2015 15.61% 17.47% 14.726 6.295
2016 15.88% 17.68% 14.977 6.375
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Sources: Data on health spending from CMS 2018. Data on GDP and price indices for overall GDP and health spending from the Bureau of Economic Analysis 2018 National Income and Product Accounts.

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