Taggert J. Brooks, PhDAssociate Professor of EconomicsUniversity of Wisconsin-La Crosse

Concierge Banking Reception

I’ll pretend to know, but I probably don’t. And the views expressed today might be my own, but they probably do not reflect the views of the sponsors, my employer, or my parents.

Disclaimer:

“Man-Cession”

The Gender Effects of Recessions

Jan-48 Jan-55 Jan-62 Jan-69 Jan-76 Jan-83 Jan-90 Jan-97 Jan-04-4

-3

-2

-1

0

1

2

3

4 Male Unemployment Rate - Female Uenmployment Rate

1981 1991 2001 2007

-7.0%

-6.0%

-5.0%

-4.0%

-3.0%

-2.0%

-1.0%

0.0%

1.0%

Recession

Male Cumulative Job LossFemale Cumulative Job Loss

Health Care

The “problems” and their local impact

Improve it

Makie it Worse

Have No Ef-fect

Unsure

- 10.0 20.0 30.0 40.0 50.0 60.0

Increased Gov't Involvement in Healthcare Will...

*Source: htttp://www.pollingreport.com/health.htm

National*7 Rivers

Increase

Decrease

Remain the Same

Unsure

- 10.0 20.0 30.0 40.0 50.0 60.0 70.0

The Amount You Will Pay For Medical Care Will...

*Source: htttp://www.pollingreport.com/health.htm

National*7 Rivers

Myth

Businesses are less competitive because of the burden of health care.

1960

1965

1970

1975

1980

1985

1990

1995

2000

National Compensation Measures as a Share of GDP, NIPA 1960-2006

Source: Kaiser Family Foundation analysis of data from the U.S. Department of Commerce, Bureau of Economic Analysis, National Income and Product Accounts, 1960-2006, Tables 1.1.5, 2.1, 6.11B, 6.11C, &

6.11D, 2008.

2006

Wages

Other Fringe Benefits and Payroll Taxes

51.8%

Private Group Health Insurance

0.6%

3.8%

45.6%

4.1%

6.7%

56.3% of GDP

56.4% of GDP

Myth

Costs are rising more rapidly than other countries.

KoreaIrelandPoland

NorwayGreece

United KingdomSpain

Czech RepublicAustriaMexico

NetherlandsBelgium

United StatesNew Zealand

FranceJapan

DenmarkCanada

SwitzerlandSwedenFinland

GermanyItaly

Iceland

0 1 2 3 4 5 6 7 8 9 10

1990-2007 Average annual % change in total health expenditure per capita, $PPP (OECD)

“If something can't go on forever, it won't.“

~Herb Stein

Problem

US has highest per capita health spending

United StatesFrance

SwitzerlandGermanyBelgiumAustriaCanada

DenmarkNetherlands

GreeceIceland

New ZealandSwedenNorway

ItalySpainUnited

KingdomFinlandSlovak RepublicIrelandHungaryCzech RepublicKorea

PolandMexico

0 2 4 6 8 10 12 14 16 18

Total Health Expenditure as a % of GDP

High Income

High Dispersion of Health Insurance “Incentives”

High Technology

Explanations

$10,000 $20,000 $30,000 $40,000 $50,000$0

$2,000

$4,000

$6,000

$8,000

GDP Per Capita $PPP

To

tal

exp

en

dit

. o

n h

ea

lth

/ca

pit

a,

$

PPP France

US

Korea

$10,000 $20,000 $30,000 $40,000 $50,000$0

$2,000

$4,000

$6,000

$8,000

GDP Per Capita $PPP

To

tal

exp

en

dit

. o

n h

ea

lth

/ca

pit

a,

$

PPP France

US

Korea

None of the proposals will address these issues. Expect expenditures to increase.

Local Impact

Long Term Fiscal Problems

Medicare and Social Security.