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Disability and Spending Growth

Disability and Spending Growth

(p.237) 8 Disability and Spending Growth
Health at Older Ages
Michael E. Chernew, Dana Goldman, Feng Pan, Baoping Shang
University of Chicago Press

This chapter examines spending trends by those with and without functional limitations, and specifically by disability category for certain types of health care services. The pattern of results suggests that the convergence in spending is driven by reductions in spending for long-term care services. For pharmaceutical spending, growth was fast among all categories of disability, but most rapid among the least disabled. Only the instrumental activities of daily living (IADL)-only group has very similar spending growth to the nondisabled group. The other ADL groups have slower spending growth in aggregate than the nondisabled (and IADL-only) group. It is noted that the convergence of spending reflects the reduction in long-term care spending following the Balanced Budget Act.

Keywords:   spending trends, disability, health care services, pharmaceutical spending, spending growth, care spending, Balanced Budget Act

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