Inefficient health expenditure is not America's destiny.
Government experts just published 2013-2023 projections for U.S. national health expenditure. After five years below 4%, CMS forecasts roughly 6.0% annualized growth resulting in whopping healthcare expenditures totaling $5.2 trillion in 2023, representing 19.3 percent of GDP.
These projections embody an economic fatalism that insists healthcare expenditures will always consume a greater percentage of the U.S. economy. Inefficient health expenditure is not our destiny. The government’s analysis neglects a fundamental shift in healthcare supply-demand relationships driven by market demands for more productivity, transparency and value.