Public social welfare expenditures, fiscal year 1989.

Expenditures for social welfare under public law amounted to $955.9 billion in fiscal year 1989. an increase of 7.9 percent over the previous year. The 1989 amount represented 18.6 percent of the national output of goods and services, as measured by the gross national product (GNP). Social insurance programs accounted for about one-half of all expenditures, followed in importance by the education and public aid categories. Social welfare expenditures, which are defined in this series as the cash benefits. services, and administrative costs of public programs that directly benefit individuals and families, have been relatively stable since the early 1980’s. The average annual growth in social welfare spending from 1982 to 1988 was 6.9 percent, and such spending represented between 18.4 percent and 19.5 percent of the GNP. The 1989 data continue this pattern. Table 1 shows the individual components of the series and the changes that took place from year to year. The data for 1985-88 have been revised, particularly in the area of health and medical care. These revisions are in accordance with those made by the Office of the Actuary, Health Care Financing Administration, and the main categories affected are “Public aid” and “Health and medical programs. ” Overall spending for social welfare rose $69.7 billion from 1988 to 1989. Of that increase, $34.0 billion-48.8 percent-was accounted for by social insurance expenditures. The Social