In 2023, U.S. national health expenditure as a share of its gross domestic product (GDP) reached 17.6 percent, this was an increase on the previous year. The United States has the highest health spending based on GDP share among developed countries. Both public and private health spending in the U.S. is much higher than other developed countries. Why the U.S. pays so much moreWhile private health spending in Canada stays at around three percent and in Germany under two percent of the gross domestic product, it is nearly nine percent in the United States. Another reason for high costs can be found in physicians’ salaries, which are much higher in the U.S. than in other wealthy countries. A general practitioner in the U.S. earns nearly twice as much as the average physician in other high-income countries. Additionally, medicine spending per capita is also significantly higher in the United States. Finally, inflated health care administration costs are another of the predominant factors which make health care spending in the U.S. out of proportion. It is important to state that Americans do not pay more because they have a higher health care utilization, but mainly because of higher prices. Expected developmentsBy 2031, it is expected that health care spending in the U.S. will reach nearly one fifth of the nation’s gross domestic product. Or in dollar-terms, health care expenditures will accumulate to about seven trillion U.S. dollars in total.

Among OECD member countries, the United States had the ******* percentage of gross domestic product spent on health care as of 2024. The U.S. spent nearly **** percent of its GDP on health care services. Germany, Austria, and Germany followed the U.S. with distinctly smaller percentages. The United States had both significantly higher private and public spending on health compared with other developed countries. Why compare OECD countries? OECD stands for Organization for Economic Co-operation and Development. It is an economic organization consisting of 38 members, mostly high-income countries and committed to democratic principles and market economy. This makes OECD statistics more comparable than statistics of developed and undeveloped countries. Health economics is an important matter for the OECD, even more since increasing health costs and an aging population have become an issue for many developed countries. Health costs in the U.S. A higher GDP share spent on health care does not automatically lead to a better functioning health system. In the case of the U.S., high spending is mainly because of higher costs and prices, not due to higher utilization. For example, physicians’ salaries are much higher in the U.S. than in other comparable countries. A doctor in the U.S. earns more than ***** as much as the average physician in Germany. Pharmaceutical spending per capita is also distinctly higher in the United States. Furthermore, the U.S. also spends more on health administrative costs compared to other wealthy countries.

Per capita national health expenditures in the United States have increased significantly since 1960. In 2023, national health expenditures amounted to **** thousand U.S. dollars per capita. For comparison, in 1960, per capital expenditures for health stood at *** U.S. dollars. According to recent data, the U.S. has some of the highest health care costs in the world. Health care expenditures With increased per capita health expenditures, U.S. health care expenditures as a percentage of the gross domestic product (GDP) have also increased over the decades. Among developed countries, the U.S. has the highest health expenditure as a proportion of the GDP. The high level of health costs in the U.S. may be attributable to high costs for prescribed drugs and health services as well as high administrative costs. Cost areas A large proportion of all health care spending in the U.S. is attributable to hospital care and physician and clinical services. In recent years, many sectors have seen an increase in health care spending. However, data suggests that prescription drugs have seen some of the most dramatic increases in spending in recent years. The annual prescription drug expenditures in the U.S. reached an all-time high by the end of 2022.

The average for 2021 based on 186 countries was 7.09 percent. The highest value was in Afghanistan: 21.51 percent and the lowest value was in Brunei: 2.15 percent. The indicator is available from 2000 to 2023. Below is a chart for all countries where data are available.

The average for 2021 based on 19 countries was 7.86 percent. The highest value was in El Salvador: 10.13 percent and the lowest value was in Haiti: 3.44 percent. The indicator is available from 2000 to 2023. Below is a chart for all countries where data are available.

Graph and download economic data for Government current expenditures: Federal: Health (G160661A027NBEA) from 1959 to 2024 about health, expenditures, federal, government, GDP, and USA.

The average for 2021 based on 12 countries was 7.74 percent. The highest value was in Argentina: 10.04 percent and the lowest value was in Venezuela: 4.1 percent. The indicator is available from 2000 to 2023. Below is a chart for all countries where data are available.

This statistic shows a forecast of the U.S. national health expenditure as a percentage of GDP from 2024 to 2033. By 2032, this share is expected to increase up to nearly ********* of the national gross domestic product.

In 2024, the United States had the ******* per capita health expenditure among OECD countries. At that time, per capita health expenditure in the U.S. amounted over ******** U.S. dollars, significantly higher than in Switzerland, the country with the ************** per capita health expenditure. Norway, Germany and, the Netherlands are also within the top five countries with the highest per capita health expenditure. The United States also spent the highest share of it’s gross domestic product on health care, with **** percent of its GDP spent on health care services. Health Expenditure in the U.S. The United States is the highest spending country worldwide when it comes to health care. In 2023, total health expenditure in the U.S. came close to **** trillion dollars. Expenditure as a percentage of GDP is projected to increase to approximately ** percent by the year 2033. Distribution of Health Expenditure in the U.S. Health expenditure in the United States is spread out across multiple categories such as nursing home facilities, home health care, and prescription drugs. As of 2023, the majority of health expenditure in the United States was spent on hospital care, accounting for a bit less than *** third of all health spending. Hospital care was followed by spending on physician and clinical services which accounted for ** percent of overall health expenditure.

Graph and download economic data for Personal consumption expenditures: Services: Health care (DHLCRC1Q027SBEA) from Q1 1959 to Q2 2025 about health, PCE, consumption expenditures, consumption, personal, services, GDP, and USA.

This statistic shows a forecast of the U.S. total national health expenditure from 2023 to 2033. For 2033, the total health expenditure of the United States is forecasted to reach some 8.5 trillion U.S. dollars.

16.5 (%) in 2022. Level of current health expenditure expressed as a percentage of GDP. Estimates of current health expenditures include healthcare goods and services consumed during each year. This indicator does not include capital health expenditures such as buildings, machinery, IT and stocks of vaccines for emergency or outbreaks.

Graph and download economic data for Personal consumption expenditures: Services: Health care (DHLCRC1A027NBEA) from 1929 to 2024 about health, PCE, consumption expenditures, consumption, personal, services, GDP, and USA.

Context

This indicator calculates the average expenditure on health per person. It contributes to understand the health expenditure relative to the population size facilitating international comparison. The Organization for Economic Co-operation and Development (OECD) defines current health spending as:

Health spending measures the final consumption of health care goods and services (i.e. current health expenditure) including personal health care (curative care, rehabilitative care, long-term care, ancillary services and medical goods) and collective services (prevention and public health services as well as health administration), but excluding spending on investments. Health care is financed through a mix of financing arrangements including government spending and compulsory health insurance (“Government/compulsory”) as well as voluntary health insurance and private funds such as households’ out-of-pocket payments, NGOs and private corporations (“Voluntary”). This indicator is presented as a total and by type of financing (“Government/compulsory”, “Voluntary”, “Out-of-pocket”) and is measured as a share of GDP, as a share of total health spending and in USD per capita (using economy-wide PPPs).

OECD (2020), Health spending (indicator). doi: 10.1787/8643de7e-en (Accessed on 19 September 2020)

Graph and download economic data for Real personal consumption expenditures: Home health care (DHHCRX1A020NBEA) from 2007 to 2024 about health, PCE, consumption expenditures, consumption, personal, real, GDP, and USA.

Health expenditure in the U.S. has been a hotly debated topic among political parties, especially on the verge of presidential elections. Health expenditures in the U.S. have been increasing over time and are projected to keep increasing. As of 2023, the U.S. spent a total of *** trillion U.S. dollars on healthcare. U.S. health expenditure in comparison The U.S has some of the highest expenditures for health care in the world. With a total health spending of roughly ** percent of the country’s GDP, the U.S. has far surpassed the country with the second highest health expenditure as a share of GDP, Germany. The United States, despite having a mixed method of healthcare financing and insurances, also has one of the highest shares of domestic governmental health expenditures. U.S. health care payers There are several different governmental and non-governmental agencies that are responsible for health care funding and payments in the United States. Currently, private insurance and Medicare are the two largest payers of U.S. health care. Direct health care costs are not the only things that these payers are responsible for. They may also be partly responsible for prescription drug costs. Again, private insurance and Medicare are the two largest payers of prescription drug costs in the U.S. Among all the payers of health care costs in the U.S., Medicare has experienced the highest level of health spending increases in recent years.

United States GDP: 2017p: PCE: Services: Health Care data was reported at 2,816.029 USD bn in 2024. This records an increase from the previous number of 2,667.007 USD bn for 2023. United States GDP: 2017p: PCE: Services: Health Care data is updated yearly, averaging 2,155.249 USD bn from Dec 2007 (Median) to 2024, with 18 observations. The data reached an all-time high of 2,816.029 USD bn in 2024 and a record low of 1,753.978 USD bn in 2007. United States GDP: 2017p: PCE: Services: Health Care data remains active status in CEIC and is reported by Bureau of Economic Analysis. The data is categorized under Global Database’s United States – Table US.A029: NIPA 2023: GDP by Expenditure: Chain Linked 2017 Price: Annual.

United States GDP: PCE: SE: MC: Health Insurance (HI) data was reported at 93.230 USD bn in Oct 2003. This records an increase from the previous number of 92.459 USD bn for Sep 2003. United States GDP: PCE: SE: MC: Health Insurance (HI) data is updated monthly, averaging 14.238 USD bn from Jan 1959 (Median) to Oct 2003, with 538 observations. The data reached an all-time high of 93.230 USD bn in Oct 2003 and a record low of 1.544 USD bn in Jan 1959. United States GDP: PCE: SE: MC: Health Insurance (HI) data remains active status in CEIC and is reported by Bureau of Economic Analysis. The data is categorized under Global Database’s USA – Table US.A203: NIPA 1999: Personal Consumption Expenditure.

This dataset provides a summary of government spending on healthcare, presented as a share of a country's GDP, for the years 2000–2020. The summary contains data for selected European countries, including Poland, the US, China, and India.

United States GDP: saar: PCE: Services: Health Care data was reported at 1,857.800 USD bn in Mar 2013. This records an increase from the previous number of 1,842.600 USD bn for Dec 2012. United States GDP: saar: PCE: Services: Health Care data is updated quarterly, averaging 320.600 USD bn from Mar 1959 (Median) to Mar 2013, with 217 observations. The data reached an all-time high of 1,857.800 USD bn in Mar 2013 and a record low of 14.500 USD bn in Mar 1959. United States GDP: saar: PCE: Services: Health Care data remains active status in CEIC and is reported by Bureau of Economic Analysis. The data is categorized under Global Database’s USA – Table US.A108: NIPA 2009: GDP by Expenditure: Seasonally Adjusted at Annual Rates: Current Price.