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The U.S. spent $3.34 trillion on health care in 2016 — a 4.3% increase from 2015 and an amount that almost equals Germany's entire economy, according to new data from the Centers for Medicare & Medicaid Services. That spending growth is slightly lower than what CMS initially predicted in February, and it's a lower growth rate than 2014 and 2015.

Yes, but: Even a slower 4.3% uptick in health care spending greatly outpaced the 2.8% growth of the broader U.S. economy. Health care continues to absorb a greater share of the overall economy, which eats into other areas like education and infrastructure.

Expand chart
Data: Centers for Medicare & Medicaid Services; Chart: Andrew Witherspoon / Axios

Here are some of the other highlights of the national health spending data:

  • Total out-of-pocketing spending — which includes what Americans spent on deductibles, copays, coinsurance and uncovered services — increased 3.9% in 2016. That's the highest growth rate since 2007. More health care costs are falling on the shoulders of Americans, and it's a major reason why people are becoming even more upset with the system.
  • The amount Medicare spent on health care last year increased 3.6%, compared with 4.8% in 2015. CMS could not say how much, if any, of that lower growth rate could be attributed to models that pay for outcomes instead of volume.
  • The Affordable Care Act's expansion of health insurance coverage in the individual markets and Medicaid were major reasons why spending increased in 2014 and 2015. But insurance coverage remained mostly stable last year, hence why spending did not grow as much.

Go deeper

Kaine, Collins' censure resolution could bar Trump from holding office again

Sen. Tim Kaine (center) and Sen. Susan Collins (right). Photo: Andrew Harnik/Pool via Getty Images

Sens. Tim Kaine (D-Va.) and Susan Collins (R-Maine) are forging ahead with a draft proposal to censure former President Trump, and are considering introducing the resolution on the Senate floor next week.

Why it matters: Senators are looking for a way to condemn Trump on the record as it becomes increasingly unlikely Democrats will obtain the 17 Republican votes needed to gain a conviction, Axios Alayna Treene writes. "I think it’s important for the Senate's leadership to understand that there are alternatives," Kaine told CNN on Wednesday.

Stark reminder for America's corporate leaders

Rosalind "Roz" Brewer is about to become only the second Black woman to permanently lead a Fortune 500 company. She starts as Walgreens CEO on March 15.

Why it matters: It's a stark reminder of how far corporate America's top decision-makers have to go during an unprecedented push by politicians, employees and even a stock exchange to diversify their top ranks.

Ina Fried, author of Login
Updated 2 hours ago - Technology

Apple's quarterly sales top $100 billion for first time

Credit: Apple

Spurred by strong sales of the latest iPhones, Apple reported it took in a record $111 billion in revenue for the three months ended Dec. 31, as the company crushed expectations.

Why it matters: The move showed even a pandemic didn't dull demand for Apple's latest smartphones.