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National Health Spending In 2005: The slowdown continues

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    • Freestanding home health care spending continued to grow in 2005, increasing 11.1%, which was the 3rd straight year of double-digit growth. Home health care spending was the fastest growing health…  
    • “Medicaid spending growth increased slightly in 2005 to 3.9%, while Medicare nursing home expenditures grew 12.0% following growth of 16.2% in 2004.”  
    • Hospital spending accounted for 31% of all money spent on health care in 2005, which was the largest share of overall health spending.  
    • Out-of-pocket spending for health care was $249.4 billion in 2005.  
    • In 2005, Medicare spending reached $342.0 billion which was a 9.3% increase. Medicare spending increased 10.3% in 2004.  
    • Public-sector spending on health care increased 7.7% in 2005, compared with 7.8% in 2004.  
    • In 2004 and 2005, hospital spending continued to grow quickly by 7.9% each year and accounted for the largest share of the overall spending increase in both years.  
    • The health care portion of the GDP was 16%, which was slightly higher than the 15.9% in 2004.  
    • U.S. health care spending increased 6.9% in 2005 to almost $2.0 trillion, or $6,697 a person.