Source: Congressional Budget Office
Spending on health care has been growing faster than the economy for many years, representing a challenge both for the government’s two major health insurance programs, Medicare and Medicaid, and for the private sector. A prologue to the Congressional Budget Office’s (CBO’s) upcoming long-term budget outlook, to be released next month, this study (PDF; 832 KB) presents the agency’s projections of federal spending on Medicare and Medicaid and national spending on health care over the next 75 years. The goal of the projections is to examine the implications of a continuation of current federal law, rather than to make a prediction of the future. In reality, federal law will change; nevertheless, the projections provide a useful measure of the scope of the problem facing the nation under current law.