National healthcare spending in March grew 3.8 percent on an annualized basis, according to Altarum Institute.
That rate is one-tenth below the February rate, putting it below the record low levels seen annually in 2009 – 2011, and below our estimate of 4.3 percent for 2012. Meanwhile, healthcare employment may finally be slowing with an average gain of 19,000 jobs per month for 2013, compared with 27,000 per month during 2012.
Healthcare prices in March 2013 were 1.6 percent higher than in March 2012, one-tenth below the February rise, and second lowest reading since December 1997’s 1.3 percent figure. The 12-month moving average at 1.9 percent is the lowest rate since a 1.8 percent reading recorded in October 1998.
Healthcare employment rose by 19,000 jobs in April 2013, matching the average growth for the first four month of the year. With a better than expected 165,000 economy-wide jobs created, plus upward revisions for February and March totaling 114,000, the health sector share of total employment dropped slightly to 10.72 percent, off the revised all-time high of 10.73 percent last seen in January 2013.
