The passage of the American Health Care Act could ultimately result in significant job loss and economic output, as the projected loss of health insurance for 23 million people by 2026 could recreate a ripple effect through the rest of the economy, according to a study by The Commonwealth Fund, "The American Health Care Act: Economic and Employment Consequences for States."
While the AHCA's tax repeal would initially bolster economic activity, leading to 864,000 more jobs in 2018, the multiplier effect of reduced federal spending on health care could cause negative economic effects, according to the study.
By 2026, 924,000 jobs could be lost — most in the health care sector, gross state products could be $93 billion lower, and business output could be $148 billion less. States which expanded Medicaid could experience faster and deeper economic losses.
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Katie Kuehner-Hebert
Katie Kuehner-Hebert is a freelance writer based in Running Springs, Calif. She has more than three decades of journalism experience, with particular expertise in employee benefits and other human resource topics.
