Prescription drugs is an increasing component of Medicare spending

Composition of Medicare Payments (% of Total Medicare Spending)

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Source: Centers for Medicare and Medicaid ServicesEmbed Download image

Notes: “Equipment” includes both durable medical equipment and other non-durable medical products. “All Other Care” includes dental services, other professional services, and other health, residential, and personal care expenditures. “Administrative Expenses” includes government administrative expenses and the total net cost of health insurance expenditures.