Will the Health Care Cost Curve be Bent? Where We Stand at the Start of 2011

Charles S Roehrig

Business Economics, 2011, vol. 46, issue 3, 159-162

Abstract: This overview shows the change in health care costs in the aggregate, as a share of GDP, and—along with other programs—the share of entitlements in the federal budget. These trends are unsustainable. Many current proposals for reform imply a one-time downward shift in the curve but do not affect its long-run shape. Thus, they simply postpone consequences for a few years rather than solve the main problem. What must be done is to bend the health care cost curve so that its rate of growth is more in line with that of GDP.

Date: 2011
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