Article: Growth in U.S. Health Care Spending Hit 37-Year Low in '96; 4.4 Percent Rise Was Less Than GDP Gain, but Analysts Say Costs Are Accelerating

Growth in the nation's health care spending reached a 37-year low in 1996 amid the spread of managed care, according to a federal study released yesterday.

Nonetheless, economists and health care analysts found little cause for celebration, saying that the 1996 figures are already outdated and that health care spending is again accelerating.

"All experience suggests that. . . . we haven't slayed the health cost monster and that it will return," said Drew Altman, president of the Henry J. Kaiser Family Foundation, which sponsors research on health care. The aging of the nation's population, the advent of costly new medical technologies and diminishing returns from the managed-care ...

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