September 2016 Health Sector Economic Indicators Briefs

Health care added 14,000 jobs in August, the lowest level of growth since April 2014 when the acceleration in hiring, fueled by expanded coverage, began. Although national health spending in July 2016 was 4.9% higher than in July 2015, this represents a continuing gradual downward trend over the past six months, declining from 5.6% (year over year) in February. Growth in spending on prescription drugs dropped below 4% for the first time in three years. And health care prices in July 2016 were 1.7% higher than in July 2015. While only a 0.1 increase from June, the index is at its highest rate since September 2014. Reflecting this upward trend, the 12-month moving average rose by 0.1 to 1.3%, its highest rate since July 2015. (emphasis added)