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  1. 1. Hunter-Bellevue School of Nursing CUNY Graduate Center The Economics of Health Care Raymond R. Arons, Dr. P.H, M.P.H March 24, 2009
  2. 2. The Economics of Health Care Hunter-Belleview School of Nursing 2 Hunter-Bellevue School of Nursing The CUNY Graduate Center The Economics of Health Care Raymond R. Arons, Dr. P.H, M.P.H., M.E. April 24, 2009 Topics to be Covered Historical Economics of Health Care Current Economics Of Health Care – Definition of GDP – GDP Trends – GDP Components Health Care GDP Trends – Expenditures – Employment – Professional Distribution – Patient Demographic – International Comparisons – Distribution of Nations Health Care Dollars – Governmental Comparisons 2 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  3. 3. The Economics of Health Care Hunter-Belleview School of Nursing 3 Historical Economic of Health Care 3 4 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  4. 4. The Economics of Health Care Hunter-Belleview School of Nursing 4 5 http://ublib.buffalo.edu/archives/img/almshouse_townsend.jpg 6 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  5. 5. The Economics of Health Care Hunter-Belleview School of Nursing 5 7 www.poorhousestory.com/NEW%20YORK.htm 8 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  6. 6. The Economics of Health Care Hunter-Belleview School of Nursing 6 9 Bellevue Hospital Ambulance, New York Times, 1895.JPG 10 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  7. 7. The Economics of Health Care Hunter-Belleview School of Nursing 7 11 Current Economic of Health Care 12 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  8. 8. The Economics of Health Care Hunter-Belleview School of Nursing 8 Definitions of the Gross Domestic Product (GDP) The nations income and product accounts (NIPA’s) are the comprehensive set of accounts that measure the total value of final goods and services (gross domestic product, or GDP) produced by the U.S. economy. 13 J. Steven Landefeld , Director, Bureau of Economic Analysis, GDP: One of the Great Inventions of the 20th Century, Survey of Current Business ,January, 2000 http://www.bea.gov/scb/pdf/beawide/2000/0100od.pdf Bank of America-NY 14 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  9. 9. The Economics of Health Care Hunter-Belleview School of Nursing 9 General Motors 15 16 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  10. 10. The Economics of Health Care Hunter-Belleview School of Nursing 10 2008 GDP $ 14,200,000,000 17 Source: Bureau of Economics http://www.bea.gov/newsreleases/national/gdp/gdpnewsrelease.htm U.S. Gross Domestic Product (GDP) 16 14.2 14 12 10 9.2 1900 $ Trillions 8 1929 6 1999 2008 4 2 0.73 0.29 0 Year 18 Source: Bureau of Economics Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  11. 11. The Economics of Health Care Hunter-Belleview School of Nursing 11 http://www.bea.gov/newsreleases/national/gdp/gdpnewsrelease.htm 1997 Major Components of the U.S.A GDP Manufacturing Retail Trade Health Care and Social Assistance Art, entertainment, recreation, accommodation and food services Financing, insurance, real estate, rental and leasing Government – Federal – State and Local 19 Source Bureau of Economic Analysis is an agency of the U.S. Department of Commerce. http://www.bea.gov/industry/gdpbyind_data.htm . Steven Landefeld , Director, Bureau of Economic Analysis, GDP: One of the Great Inventions of the 20th Century, Survey of Current Business ,January, 2000 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  12. 12. The Economics of Health Care Hunter-Belleview School of Nursing 12 20 21 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  13. 13. The Economics of Health Care Hunter-Belleview School of Nursing 13 Forbes Top 2007 U.S. Corporations NAME 5-YEAR TOTAL RETURN % SALES ($BIL) NET INCOME ($MIL) INDUSTRY Bank of America 9.2 122.6 19,970 Banking Chevron 24.8 207.2 17,585 Oil & Gas Operations JPMorgan Chase 15.9 114.2 16,920 Banking Microsoft 6.3 54.1 14,876 Software & Services Toyota Motor 17.0 205.5 13,927 Consumer Durables Berkshire Hathaway 14.1 116.4 13,852 Diversified Financials AT&T 10.7 104.5 10,753 Telecommunications Services Procter & Gamble 13.9 77.9 10,721 Household & Personal Products Johnson & Johnson 5.6 58.8 10,370 Drugs & Biotechnology Wells Fargo 9.0 52.2 8,987 Banking GlaxoSmithkline 9.7 43.2 8,296 Drugs & Biotechnology Cisco Systems 13.6 36.3 7,930 Technology Hardware & Equip Hewlett-Packard 22.5 104.3 7,264 Technology Hardware & Equip 22 http://www.forbes.com 23 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  14. 14. The Economics of Health Care Hunter-Belleview School of Nursing 14 24 25 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  15. 15. The Economics of Health Care Hunter-Belleview School of Nursing 15 26 27 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  16. 16. The Economics of Health Care Hunter-Belleview School of Nursing 16 28 29 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  17. 17. The Economics of Health Care Hunter-Belleview School of Nursing 17 30 31 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  18. 18. The Economics of Health Care Hunter-Belleview School of Nursing 18 32 33 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  19. 19. The Economics of Health Care Hunter-Belleview School of Nursing 19 34 35 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  20. 20. The Economics of Health Care Hunter-Belleview School of Nursing 20 36 37 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  21. 21. The Economics of Health Care Hunter-Belleview School of Nursing 21 38 39 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  22. 22. The Economics of Health Care Hunter-Belleview School of Nursing 22 40 41 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  23. 23. The Economics of Health Care Hunter-Belleview School of Nursing 23 42 43 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  24. 24. The Economics of Health Care Hunter-Belleview School of Nursing 24 44 45 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  25. 25. The Economics of Health Care Hunter-Belleview School of Nursing 25 46 47 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  26. 26. The Economics of Health Care Hunter-Belleview School of Nursing 26 48 49 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  27. 27. The Economics of Health Care Hunter-Belleview School of Nursing 27 50 51 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  28. 28. The Economics of Health Care Hunter-Belleview School of Nursing 28 52 53 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  29. 29. The Economics of Health Care Hunter-Belleview School of Nursing 29 54 55 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  30. 30. The Economics of Health Care Hunter-Belleview School of Nursing 30 56 57 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  31. 31. The Economics of Health Care Hunter-Belleview School of Nursing 31 58 59 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  32. 32. The Economics of Health Care Hunter-Belleview School of Nursing 32 60 U.S. Treasury 61 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  33. 33. The Economics of Health Care Hunter-Belleview School of Nursing 33 62 63 http://www.federalbudget.com/ Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA
  34. 34. The Economics of Health Care Hunter-Belleview School of Nursing 34 References Rosenberg CE The Care Of Strangers: The Rise of America’s Hospital System, The Johns Hopkins University Press, Baltimore, 1987. U.S. Department of Health and Human Services, CMS Financial Report, Fiscal Year 2007 Washington, D.C, November 2007. Centers for Medicare and Medicaid Services, An Overview of the U.S. Health Care System Chart Book, January 31, 2007. 2008 Annual Report of the Board Of Trustees of the Federal Hospital Insurance and Federal Supplemental Medical Insurance Trust Funds, Washington, D.C, March 25, 2008. The Congress of the United States, Congressional Budget Office, Key Issues in Examining Major Health Insurance Proposals, Washington, D.C, December, 2008. Commission on Hospital Care, Hospital Care in the United States, The Commonwealth Fund, New York, New York, 1947. Feldstein PJ, Health Policy Issues, An Economic Perspective, 4th Edition, Health Administrative Press, Chicago, 2007. National Bureau of Economic Research, Recent Economic Changes, Volume I and II, Report of the Committee on Economic Changes of the Presidents Conference on Unemployment, Herbert Hoover, Chairman. McGraw-Hill , New York, 1929. 64 Copyright © 2009 Raymond R. Arons, Teaneck, NJ, USA

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