The national health expenditures (NHE) series presented in this report
for 1960-96 provides a view of the economic history of health care in
the United States through spending for health care services and the s
ources financing that care, lit 1996 NHE topped $1 trillion. At the sa
me time, spending grew at the slowest rate, 4.4 percent, ever recorded
in the current series. For the first time, this article presents esti
mates of Medicare managed care payments by type of service, as well as
nursing home and home health spending in hospital-based facilities.