How health care cost and the aging baby boomer population will affect the economy - Research Paper Example

This paper centers the discussion about the supply and demand of the health care cost associated to the aging baby boomers, and its effects onto the national economy. Finally, a conclusion will be drawn to justify the researcher’s analysis within the general scope of the study. Approximately after ten years, the general population of the baby boomers will range between 51 to 70 years old (Court, Farrell, & Forsyth, 2007). Baby boomers should be enticed to work after their retirement stage. Because of the growing demand for baby boomers to continue their participation in the workforce, some fractions of the national policy should be amended.

Further, 69% of the baby boomers are not yet ready to adopt new lifestyles (Beinhocker, Farrell, & Greenberg, 2009). Baby boomers will report 40% of the United States’ expenditure by 2015, especially onto the disproportional division of growth and expenditure in industries from healthcare (Macunovich, 2012, p. 3). It was unearthed that the oldest baby boomers are fiscally unready to leave the workforce and are not conscious about their quandary (Beinhocker, Farrell, & Greenberg, 2009). It was found that more than half of the total population of the baby boomers was determined to work after their formal retirement (Court, Farrell, & Forsyth, 2007).

As a matter of fact, baby boomers’ workforce is increasing nowadays. After their retirement stage, baby boomers will still tend to work despite their age (Macunovich, 2012, p. 3). The growing demand for this cluster is relatively high due to economic turmoil that is happening nowadays. Baby boomers tend to continue working because they need to cover up their consumption by gaining no more than 80% of their standard income. As to that, there would be 40% of them active in the workforce at age 65.

By 2015, 33% of the baby boomer workforce will reach over the age 50 (Court, Farrell, & Forsyth, 2007). Approximately, 83% of them are receiving social security benefits