The Commonwealth Fund has released a study that indicates that the repeal of the ACA without a replacement will result in a loss of 2.6 million jobs in 2019 and 2.9 million jobs by 2021. Besides the lost jobs, the study claims that states will experience a $2.6 trillion reduction in business output, states will see a $1.5 trillion loss of gross state output from 2019 to 2023 and state and local governments will lose about $48 billion in tax revenue.
The analysis indicates that health care comprises approximately one-fifth (18.5%) of the nation’s economy by 2019 and that major changes to health care will be felt throughout the national economy. Authors explain that the economic impact is projected by analyzing how funding flows from the federal government to states, consumers, and businesses. Federal funding contributes to the economic cycle that ripples throughout the economy, both within and across state borders. Gains generate state and local tax revenues. The online version of the report includes a map that outlines state-by-state projected job loss.
