Even a moderate reduction in yearly healthcare expenditures would pay big dividends for everyday individuals, families and corporate America, according to a new report by the White House Council of Economic Advisers.
The council found that by slowing the annual growth rate of healthcare costs by 1.5 percentage points, families would see thousands of dollars more in annual income, the federal budget would inch toward the black and American businesses would become more competitive.
The bottom line of all this is that we do conclude that healthcare reform is incredibly important not just for the American people, but for the American economy, council Chairwoman Christina Romer said.
The report says that by expanding coverage to all individuals, one effect would be an increase in the economic well-being of most people currently uninsured. Another benefit, the report suggests, is that the labor supply would also improve since most Americans, in theory, would be healthier and that these benefits would have a positive impact on the national economy.