The White House’s Council of Economic Advisers released a report today finding, much as you’d expect, that the administration’s top analysts believe the Democrats’ health care reform initiative will reduce the rate of growth of public and private health care spending, and, as a result, increase GDP and boost employment.
According to CEA Christina Romer, who spoke with reporters by phone this morning, the Senate health care bill would “slow the growth rate of health care costs by one percentage point.” That may not sound like a lot, but it translates into many billions of dollars a year in savings over what analysts expect in absence of health care reform.
That, Romer said, could have far-reaching ramifications for other economic indicators, such as GDP, which she said will be “as much as four percent higher than it would have been” in the absence of reform by 2030.
Separately, the report finds that, under the terms of the reform bill, median family income would be $6,800 a year higher than currently projected, the federal budget deficit would be two percent lower than projected by 2030, and unemployment will decrease in the near term.
You can read the entire report here (PDF).
