For Immediate Release


Charles Idelson, 415-559-8991 or 510-273-2246 or Shum Preston, 510-273-2276


Medicare-for-All Would Create Jobs Throughout Economy, 2.6 Million New Jobs in Manufacturing, Retail, Health, and Other Sectors

WASHINGTON - With President Obama preparing to present his budget
proposal, which is expected to include both an update on his
economic stimulus initiatives and a renewed call for healthcare
reform, the nation's largest organization of registered nurses
today released new data on how the most comprehensive healthcare
fix would create new jobs in nearly all areas of the national

Overall, expanding and upgrading Medicare to cover all
Americans (single-payer) would create 2.6 million new jobs,
infuse $317 billion in new business and public revenues, and
inject another $100 billion in wages into the U.S. economy,
according to the study by the Institute for Health and
Socio-Economic Policy (IHSP), research arm of the California
Nurses Association/National Nurses Organizing Committee. The
study may be viewed at

While 30 percent of the new jobs would be in health and
social services, the ripple effect of job creation goes
throughout the economy, according to updated data released
today. Biggest additional gains would be in retail trade,
accommodation and food services, manufacturing, and
administrative services.

All these benefits could be achieved at less cost than the
federal bailouts for Wall Street giants such as AIG, CitiGroup,
Fannie Mae and Freddie Mac, and other banks.

"The new data reminds us that the most effective solution to
our healthcare crisis would also provide a dramatic, immediate
help towards economic recovery," said CNA/NNOC Co-President Geri
Jenkins, RN.  "The jobs creation that would come from a
single-payer system is just one reason RNs know that
single-payer is the right thing to do for our patients, for
ourselves, and for our country."

HR 676, a bill recently reintroduced in Congress, would
implement a single-payer system.

First of its kind study The IHSP
projections build from an econometric model of the current face
of healthcare - applying economic analysis to a wide array
of publicly available data from Medicare, the Bureau of Labor
Statistics, Bureau of Economic Analysis, and other sources.


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It is the first known study to provide an econometric
analysis of the economic benefits of healthcare to the overall
economy, showing how changes in direct healthcare delivery
affect all other significant sectors touched by healthcare, and
how sweeping healthcare reform can help drive the nation's
economic recovery.

Healthcare presently accounts for $2.105 trillion in direct
expenditures. But healthcare ripples far beyond doctors' offices
and hospitals. Adding in healthcare business purchases of
services or supplies and spending by workers, the total impact
of healthcare in the economy mushrooms to nearly $6 trillion.

A single-payer system would produce the biggest increase in
jobs and wages. The reason, says IHSP director and lead study
author Don DeMoro said, is that "the broadest economic benefits
directly accrue from the actual delivery and provision of
healthcare, not the purchase of insurance."

A Medicare-for-all system has numerous healthcare benefits as
well, said CNA/NNOC, including:

  • A streamlined system that ends the irrational structure of
    our current system by replacing the chaos of different plans
    that have different rules for coverage, eligibility, exclusions,
    and charges. 
  • Slashing unproductive waste in the private insurance sector
    by $56 billion.
  • Guaranteeing that everyone is covered, even if you lose or
    want to change your job; guaranteed choice of doctor and
    hospital; a standard set of benefits and care for everyone (no
    multi-tiered care system); no insurance denials based on
    pre-existing conditions or denials of treatment recommended by
    doctors because the insurer doesn't want to pay for
  • Guaranteed health security for all Americans. No more
    rapidly rising premiums, co-pays, deductibles rising three or
    four times faster than wages, pushing more families into
    bankruptcy from medical bills, or self-rationing care because
    you can't pay for it.
  • Economic protection for employers who see ever-rising costs,
    or who can't compete with employers based in countries with
    national healthcare systems.

The IHSP has conducted research for members of Congress
and state legislatures as well as NNOC/CNA, and received
international renown for research studies on cost and charges in
the hospital industry, the pharmaceutical industry, hospital
staffing, and other healthcare policy.

Robert Fountain, a frequent economics consultant for the
California Public Employees Retirement System (Cal-PERS), served
as a consultant on the study.


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CNA/NNOC represents 85,000 RNs in all 50 states, and is a founding member of the newly formed United American Nurses-NNOC.

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