Spending on Healthcare & Defense
Do federal, state, and local governments spend more combined money on healthcare or national defense (including veterans’ benefits)?
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In 2025, federal, state, and local governments spent $2.8 trillion on healthcare, or 2.2 times spending on national defense and veterans’ benefits. Since 1959, government spending on healthcare has risen from 4% to 26% of all government outlays. The costs of this amount to $20,544 for every household in the nation.
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