Table 3.
Contributions of selected factors to growth in health care spending
| Di Matteo15 | Jones16 | Pricewaterhouse Coopers7 | Smith et al19 | Peden and Freeland17 | Cutler9 | Newhouse10 | |
|---|---|---|---|---|---|---|---|
| Life expectancy/aging | ∼9% | * | 15%** | 2% | 6%–7% | 2% | 2% |
| Administrative costs | * | * | 15%*** | 3%–10% | * | 13% | * |
| Changes in financing | * | * | * | 10% | 4%–5% | 10% | 10% |
| Personal income growth | 9%–20% | * | * | 11%–18% | 14%–18% | 5% | <23% |
| Health care prices | * | * | 18% | 11%–22% | * | 19% | * |
| Technology | ∼65% | 50%–75% | 25% | 38%–62% | 70%–75% | 49% | >65% |
Notes:
*
Not estimated;
**
included aging, but also “front page treatments” (ie, media coverage drives demand for expensive treatment), increased preventive and diagnostic activity, and consumers moving away from less expensive managed care products;
***
included government mandates (including new mandated benefits) and federal and state regulatory requirements.