Chart of the Day: The Future of Health Care Costs Looks Surprisingly Rosy

For indispensable reporting on the coronavirus crisis, the election, and more, subscribe to the Mother Jones Daily newsletter.


You’ve seen various versions of this chart from me before, but perhaps you’d like to see it from a pair of highly-qualified researchers rather than some shorts-clad blogger? Not a problem. A recent paper out of the Schaeffer Center for Health Policy and Economics at USC shows that the annual increase in health care costs has been dropping steadily for more than 30 years. The green arrow shows the trendline.

Obviously this won’t go on forever. But once again, it shows that the recent slowdown in health care costs isn’t just an artifact of the Great Recession. That probably helped, but the downward trend far predates the recession. Bottom line: there will still be spikes and valleys in the future, but there’s every reason to think that the general trend of health care costs over the next few decades will be either zero (i.e., equal to overall inflation) or pretty close to it.

DEMOCRACY DOES NOT EXIST...

without free and fair elections, a vigorous free press, and engaged citizens to reclaim power from those who abuse it.

In this election year unlike any other—against a backdrop of a pandemic, an economic crisis, racial reckoning, and so much daily bluster—Mother Jones' journalism is driven by one simple question: Will America move closer to, or further from, justice and equity in the years to come?

If you're able to, please join us in this mission with a donation today. Our reporting right now is focused on voting rights and election security, corruption, disinformation, racial and gender equity, and the climate crisis. We can’t do it without the support of readers like you, and we need to give it everything we've got between now and November. Thank you.

DEMOCRACY DOES NOT EXIST...

without free and fair elections, a vigorous free press, and engaged citizens to reclaim power from those who abuse it.

In this election year unlike any other—against a backdrop of a pandemic, an economic crisis, racial reckoning, and so much daily bluster—Mother Jones' journalism is driven by one simple question: Will America move closer to, or further from, justice and equity in the years to come?

If you're able to, please join us in this mission with a donation today. Our reporting right now is focused on voting rights and election security, corruption, disinformation, racial and gender equity, and the climate crisis. We can’t do it without the support of readers like you, and we need to give it everything we've got between now and November. Thank you.

We Recommend

Latest

Sign up for our free newsletter

Subscribe to the Mother Jones Daily to have our top stories delivered directly to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate