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The Economic Burden of Racial, Ethnic, and Socioeconomic Health Inequities

Health inequities have a very real and often deadly cost to human life, evidenced by the declining life expectancy of adults in the United States. These inequities also place an economic burden on communities and states across the country.

We analyzed the cost of racial, ethnic, and socioeconomic health inequities across the U.S. economy, quantifying how these disparities are just as deadly to the economy as they are to human life and wellbeing. It is imperative that policymakers at all levels continue investing resources in order to eliminate health inequities in the U.S. in order to save and improve lives and promote quality health for everyone.

The analyses found that the costs of racial, ethnic health, and socioeconomic inequities are unacceptably high and that policymakers on all levels must continue investing resources to eliminate these disparities in the US.

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Racial and Ethnic Health Report

What is the cost to the US economy of socioeconomic health inequities?

The economic burden in this category ranges from $421-$451 billion. Most of these inequities exist due to the exposure to economic, social, structural, and environmental risks and their healthcare access. The report measures the sum of excess medical care costs, lost labor market productivity, and excess premature death (before age 78) costs by race and ethnicity compared to health equity goals.

Socioeconomic Health Report

What is the cost to the US economy of socioeconomic health inequities?

The Socioeconomic Health Report found that the costs of socioeconomic health inequities are $940-$978 billion. Most of these costs were attributed to adults with a high school diploma. However, a disproportionate share of the expenses was attributed to adults with less than a high school education. The study was conducted to estimate the economic burden of socioeconomic health inequities in the US. The measures included excess medical care costs, lost labor market productivity, and excess premature death costs.

About the Tulane Institute for Innovation in Health Equity

The Tulane Institute for Innovations in Health Equity serves as a forum to promote scholarship advancing the reduction and elimination of preventable differences in the burden of disease. Health inequities impact a wide variety of demographic groups in not just the United States, but all over the world. The quest for health equity addresses both historical and contemporary injustices based on race, ethnicity, socio-economic status, gender, sexuality, disability status, and more.

The institute is comprised of centers, research projects, and individual researchers who explore unjust patterns in the distribution of disease that are avoidable and preventable. We work to enhance human health through engagement of disadvantaged communities and populations and to serve as a resource for education and training.

If you are a member of the media looking for information about these reports, please visit our Media Inquiries page.