healthcare vs. health - federal reserve bank of san francisco€¦ · sources: centers for medicare...

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Healthcare vs. Health These terms are often conflated, but they refer to two very different ideas. Understanding the distinction is an important step towards creating a marketplace that values health. This is equivalent to 17.2% of our GDP. We spend more on Healthcare per person than any other country in the world. $1,568 $2,198 $2,361 $3,012 $3,405 $4,118 $5,643 $8,508 Despite these costs, the US is falling behind many other countries on a number of important health indicators, including life expectancy. So what’s the problem? Rank Country LE 1 Iceland 77.0 2 Japan 76.9 3 Sweden 76.3 4 Spain 76.1 5 Switzerland 76.0 ............................................................ 15 United States 74.4 Rank Country LE 1 Hong Kong 83.5 2 Japan 83.1 3 Italy 82.9 4 Iceland 82.9 5 Switzerland 82.7 .......................................................... 43 United States 78.7 1982____________________ 2012____________________ As it turns out, only 10% of what affects our life expectancy is related to Healthcare. 15% Social Circumstances 30% Genetic Predisposition 40% Behavioral Patterns 10% Healthcare 5% Environmental Exposure We need to look beyond Healthcare at a variety of factors that influence health. Housing Schools Physical Activity Jobs Transportation We need a fresh approach to health that turns these factors into investable opportunities . An approach that leverages the expertise of leaders in finance, health systems, community development, policy, and impact investing to create a marketplace that values health. Join the discussion at SOCAP Health http://health.socialcapitalmarkets.net Sources: Centers for Medicare & Medicaid Services, Organisaon for Economic Co-operaon and Development, The World Bank Infographic Compiled by the Community Development Department of the Federal Reserve Bank of San Francisco. The US spent $2.8 Trillion On Healthcare in 2012.

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Page 1: Healthcare vs. Health - Federal Reserve Bank of San Francisco€¦ · Sources: Centers for Medicare & Medicaid Services, Organisation for Economic Co-operation and Development, The

Healthcare vs. Health These terms are often conflated, but they refer to two very different ideas. Understanding the distinction is an important step towards creating a marketplace that values health.

This is equivalent to 17.2%of our GDP.

We spend moreon Healthcare per person than any other country in the world.

$1,568$2,198 $2,361

$3,012 $3,405$4,118

$5,643

$8,508

Despite these costs, the US is falling behind many other countries on a number of important health indicators, including life expectancy.

So what’s the problem?

Rank Country LE1 Iceland 77.02 Japan 76.9 3 Sweden 76.34 Spain 76.15 Switzerland 76.0............................................................15 United States 74.4

Rank Country LE1 Hong Kong 83.52 Japan 83.1 3 Italy 82.94 Iceland 82.95 Switzerland 82.7..........................................................43 United States 78.7

1982____________________ 2012____________________

As it turns out, only 10% of what affects our life expectancyis related to Healthcare.

15% Social Circumstances

30% Genetic Predisposition

40% Behavioral Patterns

10% Healthcare

5% Environmental Exposure

We need to look beyond Healthcare at a variety of factors that influence health.

Housing

Schools

Physical Activity

Jobs

Transportation

We need a fresh approach to health that turns these factors into investable opportunities. An approach that leverages the expertise ofleaders in finance, health systems, community development, policy, and impact investing to create a marketplace that values health.

Join the discussion at SOCAP Health http://health.socialcapitalmarkets.net Sources: Centers for Medicare & Medicaid Services, Organisation for Economic Co-operation and Development, The World Bank Infographic Compiled by the Community Development Department of the Federal Reserve Bank of San Francisco.

The US spent $2.8 Trillion On Healthcare in 2012.