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. 1994 Fall;16(1):247–294.

Table 5. Expenditures for Drugs and Other Medical Non-Durables,1 by Source of Funds: Selected Years 1960-93.

Source of Funds 1960 1970 1980 1985 1987 1989 1990 1991 1992 1993
Amount in Billions
Drugs and Other Non-Durable Medical Products $4.2 $8.8 $21.6 $37.4 $45.4 $54.4 $61.2 $67.1 $70.8 $75.0
 Prescription Drugs 2.7 5.5 12.0 21.4 27.0 33.4 38.2 42.8 45.7 48.8
  Out-of-Pocket Payments 2.6 4.5 7.9 11.7 14.2 16.9 18.2 19.3 20.4 21.2
  Third-Party Payments 0.1 1.0 4.1 9.7 12.8 16.5 20.0 23.5 25.3 27.6
   Private Health Insurance 0.0 0.5 2.4 6.6 8.5 11.1 13.6 15.8 17.1 18.4
   Medicaid 0.4 1.4 2.5 3.4 4.2 5.1 6.2 6.7 7.7
   General Assistance 0.0 0.0 0.1 0.4 0.5 0.8 0.9 0.9 0.9 0.9
   Other Government 0.1 0.0 0.1 0.2 0.3 0.4 0.4 0.5 0.5 0.6
 Non-Prescription Drugs and Other Medical Non-Durables2 1.6 3.3 9.6 16.0 18.4 21.0 23.0 24.3 25.0 26.1
  Out-of-Pocket Payments 1.6 3.3 9.6 16.0 18.4 21.0 23.0 24.3 25.0 26.1
Percentage Distribution by Source of Funds Within Each Category
 Prescription Drugs 100 100 100 100 100 100 100 100 100 100
  Out-of-Pocket Payments 97 82 66 55 53 51 48 45 45 43
  Third-Party Payments 3 18 34 45 47 49 52 55 55 57
   Private Health Insurance 1 9 20 31 32 33 35 37 37 38
   Medicaid 8 12 12 13 13 13 15 15 16
   General Assistance 0 1 1 2 2 2 2 2 2 2
   Other Government 3 1 1 1 1 1 1 1 1 1
 Non-Prescription Drugs and Other Medical Non-Durables2 100 100 100 100 100 100 100 100 100 100
  Out-of-Pocket Payments 100 100 100 100 100 100 100 100 100 100
1

This class of expenditure is limited to spending for products purchased in retail outlets. The value of drugs and other products provided by hospitals, nursing homes, or other health professionals is implicit in estimates of spending for these providers' services.

2

Assumes no third-party payments for non-prescription drugs and other medical non-durables.

NOTES: Numbers and percentages may not add to totals because of rounding. 0.0 denotes amounts less than $50 million.

SOURCE: Health Care Financing Administration, Office of the Actuary: Data from the Office of National Health Statistics.