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spend on health care? Health expenditure occurs where money is spent on health goods and services. Health expenditure data includes health expenditure by governments as well as individuals and other non-government sources such as private health insurers. The providers of health goods and services include hospitals, primary health care providers such as general practitioners (GPs), and other health professionals. In 2011–12, Australia spent around $140.2 billion on health, around 1.7 times higher in real terms (after adjusting for inflation) than in 2001–02. Health expenditure has grown faster than population growth. Expenditure increased from $4,276 per person in 2001–02 to $6,230 in 2011–12. Health expenditure has also grown faster than the broader economy. The ratio of health expenditure to gross domestic product (GDP) has increased from 6.8 % in 1986–87 to 9.5 % in 2011–12 (Figure 2.2). Total health expenditure has grown in real terms at an average rate of 5.4 % per year over the last decade, while GDP has grown at a slower rate of 3.1 % per year. 5