The Media/Government Keeps Saying That Inflation Isn’t Really Much Of A Problem, Right?
Incredibly, America spends more on health care each year than China, Japan, Germany, France, the UK, Brazil, Russia, Italy, Canada, Australia, and Spain – combined!
Private US citizens and the US government combined, currently spend a record $3.202 trillion per year on health care. The second largest spending country on health care is China, but their annual health care expenditures are only $578 billion or less than 1/5th of the US – despite having more than quadruple the population.
Each year, the US spends $10,041 per citizen on health care, which is 6.33X above the world’s median per-capita health care spending of $1,587 (for countries with GDP of $200 billion or above). America’s per-capita health care spending of $10,041 is 23.68X more than China’s per-capita health care spending of $424.
As a percentage of US GDP, America’s health care expenditures have just reached a new all-time high of 18.1% vs. its 50-year median of 11.63%. America’s health care expenditures/GDP ratio of 18.1% is by far the highest in the world and is 2 1/2X the global median of 7.28%.
Since 1999, the average annual health insurance premium for US families has increased from $5,791 to $16,834 – a compound annual growth rate of 7.37%. The median US household income during this time period has only increased from $40,696 to $53,627 – a compound annual growth rate of 1.86%.
Overall, the average health insurance premium for a US family has increased by a total of 190.69% in 15 years or 6X more than the median US household income, which has increased by a total of 31.77%. Health insurance premiums have also grown 2.59X more than the US medical care consumer price index (CPI), and 4.53X more than the US CPI for all items – proving that the government’s CPI understates true US price inflation.
In 1999, the average annual health insurance premium for a US family was equal to 14.23% of the median household income. In 2014, it was equal to a shocking 31.39% of the median household income. Check out these must see NIA charts of America’s health care inflation crisis: http://inflation.us/americas-health-care-inflation-crisis/
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