Value and ROI of Health
Value and ROI of Health
Issue Overview
Over the past century, economic historians estimate that improved health accounted for about one third of overall GDP per capita growth of developed economies. In fact, better health and aligned investment could add $12 trillion to global GDP in 2040—an 8 percent boost, or 0.4 percent a year faster growth.
Conversely, underinvestment in public health infrastructure and cuts to public health interventions can generate billions in additional cost burden across household, state, country and global levels.
Investment in health drives and enables sustainable growth through three key pathways:
- Micro-economic: increasing life expectancy, improving quality of life, building human capital and enhancing labor productivity;
- Mid-macro: reducing the health gap by race, gender and economic status and creating social stability
- Macro: direct and indirect economic effects, including growing national GDP to invest back into the global ecosystem, driving innovation, building infrastructure, purchasing goods, and inducing tax and security contributions.
While the global economy is still rebounding from the COVID-19 crisis, it is critically important to identify areas to reinforce both health infrastructure and health care provision to ensure proper pandemic preparedness and foster resiliency going forward.
Positioning Statement
We support public, private and integrated strategies to drive greater investment in health to support the full realization of human potential, strengthen societies, and drive economic value at all levels. An investment in health is an investment in economic growth and stability, as strong health systems create healthier and more productive workforces. Investment in health drives sustainable growth through direct and indirect economic effects, including growing national GDP to invest back into the global ecosystem, driving innovation, building infrastructure, purchasing goods, and inducing tax and security contributions.
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