WASHINGTON, DC – The American Action Forum (AAF) released a new analysis yesterday stating the opioid crisis has cost the U.S. economy more than $700 billion.
View AAF’s full infographic HERE.
In exploring the opioid crisis’ direct cost on the economy, AAF made a number of alarming findings, including:
- In 2015, 919,400 prime-age individuals were not in the labor force due to opioids;
- Between 1999 and 2015, the decline in labor force participation cumulatively cost the economy 12.1 billion work hours; and
- During that period, the reduction in work hours slowed the real annual economic growth rate by 0.2 percentage points, cumulatively costing $702.1 billion in real output.
AAF defines prime-age workers as individuals between the ages of 25 and 54, reflecting the wide scope of the opioid crisis – claimining both our youth and middle-aged men and women.
“In 2016 alone, over 42,000 people died after overdosing on opioids, a 28 percent increase from 2015. Moreover, in 2016, for every fatal opioid overdose, there were over 30 nonfatal overdoses,” explains AAF.
The AAF statistics are alarming and every state has been impacted significantly. Other studies have also found the opioid crisis is having a direct, negative effect on the resilience of the workforce and economy.
Altarum released a report in November 2017 detailing its findings on the opioid crisis’ impact on the U.S. economy in 2016. Using a different approach, their assessment totaled a $95 billion cost in 2016, largely due to the loss of lives from overdoses, which drove a loss of $43.2 billion. Additionally, earlier this month, the American Enterprise Institute (AEI) issued a report detailing the “geographic variation in the cost” of the crisis.
These studies highlight the fact that opioid overdoses continue to fall within the top 10 leading causes of death in the U.S. and have a deep societal and economic impact on the country.
AAF concludes its findings by writing, “The U.S. economy depends on prime-age workers because they are among the most productive workers in the labor force. Yet, the growth of opioid dependency over the past two decades has contributed to the falling labor force participation rate of prime-age workers.”
Energy and Commerce remains at the tip of the spear in this collective fight, and it’s imperative we work together to deliver robust, collaborative solutions to stem the tide. From improving patient safety and bolstering enforcement tools to strengthening our public health and prevention efforts, we need to address all avenues contributing to this scourge.
To learn more about Energy and Commerce’s comprehensive efforts to combat the opioid crisis, click HERE.
###