Sign up for our daily briefing

Make your busy days simpler with the Axios AM and PM newsletters. Catch up on what's new and why it matters in just 5 minutes.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on the day's biggest business stories

Subscribe to the Axios Closer newsletter for insights into the day’s business news and trends and why they matter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sign up for Axios Pro Rata

Dive into the world of dealmakers across VC, PE and M&A with Axios Pro Rata. Delivered daily to your inbox by Dan Primack and Kia Kokalitcheva.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sports news worthy of your time

Binge on the stats and stories that drive the sports world with the Axios Sports newsletter. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Tech news worthy of your time

Get our smart take on technology from the Valley and D.C. with Axios Login. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Get the inside stories

Get an insider's guide to the new White House with Axios Sneak Peek. Sign up for free.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Denver news?

Get a daily digest of the most important stories affecting your hometown with Axios Denver

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Des Moines news?

Get a daily digest of the most important stories affecting your hometown with the Axios Des Moines newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Twin Cities news?

Get a daily digest of the most important stories affecting your hometown with Axios Twin Cities

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Tampa Bay news?

Get a daily digest of the most important stories affecting your hometown with the Axios Tampa Bay newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Charlotte news?

Get a daily digest of the most important stories affecting your hometown with Axios Charlotte

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Nashville news?

Get a daily digest of the most important stories affecting your hometown with the Axios Nashville newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Columbus news?

Get a daily digest of the most important stories affecting your hometown with the Axios Columbus newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Dallas news?

Get a daily digest of the most important stories affecting your hometown with the Axios Dallas newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Austin news?

Get a daily digest of the most important stories affecting your hometown with the Axios Austin newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Atlanta news?

Get a daily digest of the most important stories affecting your hometown with the Axios Atlanta newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Philadelphia news?

Get a daily digest of the most important stories affecting your hometown with the Axios Philadelphia newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top Chicago news?

Get a daily digest of the most important stories affecting your hometown with the Axios Chicago newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Sign up for Axios NW Arkansas

Stay up-to-date on the most important and interesting stories affecting NW Arkansas, authored by local reporters

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Want a daily digest of the top DC news?

Get a daily digest of the most important stories affecting your hometown with the Axios DC newsletter.

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!

Please enter a valid email.

Please enter a valid email.

Subscription failed
Thank you for subscribing!
Expand chart
Data: Office of the Actuary, Centers for Medicare & Medicaid Services; Chart: Baidi Wang/Axios

Americans spent more than $4.1 trillion on health care in 2020, almost 10% higher than what was spent in 2019, according to new independent federal data. That's the fastest annual growth rate since 2002.

The big picture: The spike in spending was due almost entirely to the influx of federal funding that went toward stabilizing the health care system during the coronavirus pandemic.

Between the lines: The federal government subsidized health care in several new ways during the pandemic.

  • Bailout funds and loans went to hospitals, doctors and nursing homes to help them weather the revenue they lost as people put off care.
  • The development and rollout of COVID-19 tests, vaccines and treatments came courtesy of the federal government.
  • State Medicaid programs and Affordable Care Act plans were stabilized with extra funds to keep people enrolled throughout the pandemic.
  • All of that federal funding didn't just keep the system afloat. It led to historically high profits for some of the biggest companies in the industry, and that trend has continued throughout 2021.

If you exclude those various subsidies and grants, the annual growth rate was 1.9% in 2020, actuaries told reporters.

  • That's much lower than prior years, but it's still an increase in spending, even though the health care system was largely shut down for several months last year.

The bottom line: The U.S. has the most expensive health care system in the world, and the pandemic made it even more expensive.

What to watch: Preliminary data for 2021 suggests a lot more people returned to get care in hospitals, doctors' offices and other facilities, especially after vaccines were distributed widely.

  • But the Omicron variant poses another threat, as many providers have said they are overwhelmed with COVID cases and postponing more types of care again.

Go deeper

Jan 15, 2022 - Health

Experts warn of more COVID-19 variants after Omicron

Three COVID-19 testing companies place testing locations outside Grand Central Terminal on Jan. 14 in New York City. Photo: Alexi Rosenfeld/Getty Images

Experts are warning that subsequent COVID-19 variants are likely to come after Omicron, AP reports.

Why it matters: The warnings come as there's no guarantee that subsequent variants "will cause milder illness or that existing vaccines will work against them," underscoring the need for widespread vaccination, AP writes.

The new normal: Google searches reveal America's COVID shopping habits

Data: The New Normal; Google Trends; Chart: Jared Whalen/Axios

As the pandemic enters its third year, some of America's COVID-era shopping habits — including strong demand for tequila and sweatpants — are here to stay.

Driving the news: Axios worked with Google Trends and the Schema Design firm to create The New Normal, which analyzes the products Americans have Googled since 2020. Items with a lasting increase in search interest help fill in the details of what our "new normal" looks like.

Jan 13, 2022 - Health

Jumpstart launches fund for Black founders

Illustration: Shoshana Gordon/Axios

Nashville-based Jumpstart Health Investors launched Jumpstart Nova, the first U.S. venture fund to exclusively back Black-founded and led health care companies.

  • Major players including Eli Lilly, HCA Healthcare and the American Hospital Association injected $55 million.

Why it matters: A tiny fraction of existing health tech companies have Black leaders at the helm — a result of decades of systemic racism and the institutional barriers it has created.