Does the Age Profile of Health Care Expenditure Really Steepen over Time? New Evidence from Swiss Cantons

Buchner and Wasem (2006) claimed that the health care expenditure (HCE) of the old grows faster than that of the young, resulting in a steepening of the age profile of HCE over time. This paper tests the steepening claim for Swiss health insurance, covering the time period 1997-2006 and the 26 cantons. It analyses the cantonal HCE profile of men and women, taking into account differences in the mortality rates. The study covers seven components of health care, including long-term care. By and large, no evidence is found for relevant higher growth rates for either total or the components of HCE in old age.