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Related Experiment Videos

National health expenditures, 1998.

C A Cowan1, H C Lazenby, A B Martin

  • 1Office of the Actuary, National Health Statistics Group, Health Care Financing Administration, 7500 Security Boulevard, N3-02-02, Baltimore, MD 21244-1850, USA.

Health Care Financing Review
|August 3, 2001
PubMed
Summary
This summary is machine-generated.

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National health care spending grew 5.6% to $1.1 trillion in 1998. Despite stable overall growth, the healthcare system saw major shifts, impacting public and private payers with cost increases.

Area of Science:

  • Health Economics
  • Healthcare Policy
  • Public Health Finance

Background:

  • National health care expenditures reached $1.1 trillion in 1998.
  • This represented a 5.6% increase from the prior year, marking five consecutive years of growth below 6%.

Purpose of the Study:

  • To analyze the underlying shifts in the healthcare system despite stable overall spending growth.
  • To examine the impact of the Balanced Budget Act of 1997 (BBA) on public payers.
  • To assess the effects of rising healthcare costs and premium growth on private payers.

Main Methods:

  • Analysis of national health care expenditure data for 1998.
  • Review of the effects of the Balanced Budget Act of 1997 (BBA) on public payers.
  • Examination of trends in private payer costs and premium growth.

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Main Results:

  • Overall national health care spending growth remained stable at 5.6% in 1998.
  • Public payers began to experience the effects of the Balanced Budget Act of 1997 (BBA).
  • Private payers faced increased healthcare costs and rising premium growth.

Conclusions:

  • While overall health care spending growth appeared stable, significant structural changes were occurring within the system.
  • The Balanced Budget Act of 1997 (BBA) started influencing public payer dynamics.
  • Increased costs and premiums presented challenges for private payers in 1998.