Health Care Spurs Consumer Surge in U.S. GDP: Chart of the Day

Consumer spending has surged as a proportion of the U.S. economy since the mid 1960s, and it’s not because Americans splurged on cars, clothes or vacations. Instead they were looking after their wellbeing.

The CHART OF THE DAY shows household purchases as a share of gross domestic product climbed from about 61 percent in the mid 1960s to about 71 percent today. Excluding expenses for health care, the portion would have been little changed, rising from 57 percent to about 60 percent.