U.S. health care spending projected to double by 2017

According to new federal projections, "By 2017, total health care spending will double to more than $4 trillion a year, accounting for one of every $5 the nation spends." (Source: "Spending on Health to Rise Dramatically," Associated Press, Feb. 26, 2008.) "The 6.7% annual increase in spending--nearly three times the rate of inflation--will be largely driven by higher prices and an increased demand for care, the Centers for Medicare and Medicaid Services said Monday. Other factors in the mix include a growing and aging population."

The projections were published online in Health Affairs, where the abstract adds that slower growth in private health care spending toward 2017 is expected to be offset by stronger growth in public spending. In addition, the health share of the nation's gross domestic product (GDP) is expected to increase to 16.3% in 2007 and then rise throughout the projection period, reaching 19.5% of GDP by 2017. (Source: "Health Spending Projections Through 2017: The Baby-Boom Generation Is Coming To Medicare," Health Affairs.)