Exhibit 2.
Distribution of Drug Expenditures in 2005 and 2006 for Individual Beneficiaries
| Decile in 2005 Drug Expenditures |
Decile in 2006 Part D Drug expenditure (row %) | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Decile 1 | Decile 2 | Decile 3 | Decile 4 | Decile 5 | Decile 6 | Decile 7 | Decile 8 | Decile 9 | Decile 10 | Total | |
| Decile 1 | 63.3 | 19.8 | 7 | 3.3 | 1.9 | 1.3 | 1.3 | 0.8 | 0.7 | 0.6 | 100 |
| Decile 2 | 23 | 40 | 17.8 | 8 | 4.1 | 2.6 | 1.5 | 1.2 | 1 | 0.8 | 100 |
| Decile 3 | 7 | 23.1 | 32.3 | 17.1 | 8.4 | 4.6 | 2.9 | 2.1 | 1.5 | 1 | 100 |
| Decile 4 | 2.8 | 9.3 | 22.9 | 27.6 | 17.3 | 8 | 5.2 | 3.5 | 2.1 | 1.3 | 100 |
| Decile 5 | 1.4 | 4.2 | 10.5 | 22.2 | 25.2 | 16.9 | 9.2 | 5.2 | 3.1 | 2 | 100 |
| Decile 6 | 0.8 | 1.8 | 5 | 11.9 | 22.4 | 24.7 | 16.5 | 9.1 | 5.2 | 2.6 | 100 |
| Decile 7 | 0.5 | 1 | 2.4 | 5.5 | 12.5 | 23.2 | 25.3 | 16.9 | 8.4 | 4.3 | 100 |
| Decile 8 | 0.3 | 0.5 | 1.2 | 2.7 | 5.5 | 12.7 | 23.9 | 28.3 | 17.8 | 7.2 | 100 |
| Decile 9 | 0.3 | 0.3 | 0.6 | 1 | 2 | 4.8 | 11.4 | 26.1 | 35.5 | 17.9 | 100 |
| Decile 10 | 0.3 | 0.3 | 0.4 | 0.6 | 0.7 | 1.3 | 2.6 | 6.8 | 24.7 | 62.2 | 100 |
Source: Authors' analyses
This exhibit displays the percentage of beneficiaries in each decile of drug expenditures in 2005 who were in each decile of drug expenditures in 2006. Decile 1 refers to the lowest 10% of expenditures during the year; and Decile 10 refers to the highest 10% of expenditures. The mean expenditure in Decile 1 in 2005 was $6 (SD=10); the mean expenditure in Decile 10 in 2005 was $3,593 (SD=3,887). The mean expenditure in Decile 1 in 2006 was $7 (SD=11); the mean expenditure in Decile 10 in 2006 was $3,244 (SD=3,396). The distributions of these expenditures were skewed, for example, in 2006 the median, mean, 95th percentile, and highest drug expenditures were $541, $852, $2,487 and $97,632.