Transcript Slide 1

The Health Care
Sector
Bruce Domazlicky
Center for Economic &
Business Research
Disclaimer
The views expressed in this presentation are my own and
do not necessarily reflect the views of Southeast
Missouri State University.
Some National Figures
Sources of Spending
2008
Medicare: $469 Billion (8.6% Increase)
Medicaid: $344 Billion (4.7% Increase)
Private Health Insurance: $783 Billion (3.1%
Increase)
Out-of-Pocket: $278 Billion (2.8% Increase)
Total: $2.3 Trillion (16.2% of GDP, $7,681 per
person)
Source: U.S. Health & Human Services Dept.
Where Did the Money
Go?
Hospitals: $718 Billion (4.5% Increase)
Physicians: $496 Billion (5.0% Increase)
Other Professionals: $66 Billion (5.6%
Increase
Dental Services: $101Billion (5.1% Increase)
Home Health: $65 Billion (9.0% Increase)
Nursing Homes: $138 Billion (4.6%)
Prescription Drugs: $234 Billion (3.2%
Increase)
Source: U.S. Heath & Human Services Dept.
Health Care Spending by
Age
Age
2004
%
% of
POP
0-18
2,650
13.3
26.7
19-44
3,370
23.8
36.8
45-54
5,210
14.0
14.4
55-64
7,787
14.7
10.1
65-74
10,778
12.7
6.0
75-84
16,389
13.8
4.5
85+
25,691
8.1
1.5
Source: U.S. Health & Human Services Department
The Uninsured
Uninsured % By Age
0-11
12-17
18-24
25-34
35-44
45-54
55-64
65+
8.6%
11.7%
27.4%
21.9%
15.5%
12.2%
10.9%
0.5%
Source: 2001 California Survey, UCLA Center for
Policy Research
2008: 43.6 million were uninsured, 17% of Population
Economic Impact, 2007
• Impact Upon Employment,
Output and Sales
• Impact Upon the Quality of life in
Cape Girardeau County
Sector
Employment
Payroll
(millions $)
Home
HealthCare
1,072
18.85
Offices
1,477
101.52
Hospitals
3,865
161.72
Nursing
Facilities
1,325
25.59
388
16.93
8,127
324.61
Other HC
Total
Source: County Business Patterns and estimates by CEBR
Compared to Cape
County
• Employment in Health Care
Sector is 14.3% of Total
Employment in the County
• Output is 14.6% of all Output
Produced in the County
Methodology
Input-Output Model of the Economy
Trace through Impacts if Sector is Eliminated
Compare Results Before and After
Impact Simulation-No
Health Care Sector
• Employment falls by 11,367
(-21.2%)
• Output falls by $635 million
(-21.5%)
• Personal income falls by $609
million (-22.2%)
So what do we get for all the money we
spend and how healthy are we?
Health Care and Quality
of Life
• Work-Estimated $63 billion
annually lost due to illnesses
and accidents
• Leisure-Good Health Contributes
to Our Ability to Enjoy Leisure
Time
• Relationships-Good Health
Improves our Relationships with
Others
2007 Cape Girardeau and Bollinger Counties,
Age-Adjusted Rates
County
Health (Fair
or Poor)
State
15.9%
16.8%
No
Coverage
15.0
14.7
Physical
Inactivity
23.1
25.3
Smoker
21.0
23.2
Overweight
35.1
35.7
Obese
27.0
29.1
High BP
19.1
19.6
Source: Missouri Dept. of Health & Senior Services
Hospitalization Rates, 2007
250.0
200.0
150.0
Cape
Missouri
100.0
50.0
0.0
Infection
Cancer
Heart
Respiratory
Pregnancy
Digestive
Cause of Death, 1997-2007, Cape and State of Missouri
300
250
200
150
Cape
Missouri
100
50
0
Heart Disease
Cancer
Stroke
Injuries
Pneumonia
Alzheimer's
Kidney
Conclusion?
Many health problems are clearly the result of
lifestyle choices. But in general, the health of
the population in Cape County is a bit better
than average. So the health care sector has
contributed positively to the quality of life
in the region.