New Economic Momentum: The Healthcare Industry
by Angelos Angelou
As an economist, I cannot help but share with you my thoughts on the next huge driver of our economy. Perhaps, you have thought of this as well.
My personal prediction is that with the passage of the health care bill by Congress to provide health insurance to nearly every American, there will be an unprecedented demand for health care services in just a few years. Imagine 50 million additional US citizens seeking medical services?
I am not going to debate here the cost of this bill for small and large businesses alike. Every business will have to foot the bill, some more than others. Instead, I will focus my comments on the significant US economic expansion that it will bring.
Most of us forget that nearly 20% of the US economy is accounted for by our health care system. This health care legislation will increase demand for health care services by more than 20% percent in just a few years, as nearly 30% of American workers today do not have health insurance.
I predict that this development alone will have a significant and long lasting impact on economic development for all regions of our country. The cities which are considered medical and health care centric will benefit the most, but also other regions may see benefits as long as they begin to capitalize from the expected increase in the demand for health care.
The economic impact will be significant and will range from additional professional buildings for doctors to diagnostic centers, rehabilitation centers, technicians, training centers, labs and other facilities & services. Longer term, we may see expansion of hospitals as they will need to add more hospital beds and equipment.
Moreover, this unprecedented expansion to our nation’s health care capacity will also amplify existing shortages for family doctors, nurses, psychiatrists, psychologists, health counseling specialists, and specialized pediatric care. Hence, these may also be additional opportunities for the economic developer to consider.
Project Update: Midtown Cleveland Health and Technology Corridor
Armed with a significant number of research and development assets including the Cleveland Clinic, Case Western Reserve University, University Hospital, Cleveland State University and Cuyahoga County Community College, the Midtown Cleveland Health and Technology corridor presents a strong value proposition for biomedical and technology companies. Retained by BioEnterprise, Cleveland Foundation, Cuyahoga Country Port Authority and MidTown Cleveland, AngelouEconomics developed a feasibility and business attraction program to help grow and attract health and technology related companies.
Since the adoption of the final plan, the corridor has created significant real estate development activity. Of note is the recent announcement of a $35 million mixed-use redevelopment project along the corridor. The development could include a 70,000-square-foot medical office building, 150 homes for seniors, 14,000 square feet of retail and two restaurants. According to the state grant application, the project would produce 245 jobs and $1.3 million in annual property tax revenues for City of Cleveland.
AE in the News
April 16, 2010
Vision 2015 - Our competitiveness (TimesofMalta.com)
Article about AE's economic development project in the Republic of Malta.
April 14, 2010
Q&A: Choose Wisely (Forbes.com)
Site selection expert Angelos Angelou on which industries are expanding and what kind of places they're looking for.
April 7, 2010
Counties getting economic development plan (Mississippi Business Journal)
Article about AE's economic development project in Harrison and Stone Counties, Mississippi.
April 5, 2010
Commerce City adopts eco-devo plan (Denver Business Journal)
Article about AE's economic development plan in Commerce City, Colorado.
February 2010
In February, Angelos Angelou participated in a survey of economists conducted by Mathew Greenwald & Associates, Inc. Click here to review the report: Financial Concerns and Expectations in America: Key Findings from a Survey of Economists.
AE's Meredith Bossin receives 2010 AICP Student Project Award
Meredith Bossin, along with other University of Texas team members, received an AICP Student Project award in Applied Research at the 2010 National Planning Conference in New Orleans held April 10-13. Their project, Risk and Vulnerability Assessment in Santo Domingo, Dominican Republic, was part of a long-term service-learning program focusing on risk and vulnerability mitigation in slum settlements in the Dominican Republic.
Meredith joined AngelouEconomics as an Intern in August 2008 and accepted a full time position in May 2009 as an Associate Project Manager. Congratulations, Meredith!
Malta Enterprise seeks experienced manager for its Business Incubation Centre
AngelouEconomics, on behalf of Malta Enterprise, is seeking an experienced manager for the organization's Business Incubation Centre, located in the Republic of Malta. Click here to view the complete job description. Interested applicants should submit their resume and letter of interest to Esther Angelou.
April 26, 2010 - Austin, Texas
Governor Rick Perry Retreat
Angelos Angelou will present an analysis of the Texas economy, compared to competitor states, and his outlook on the national economy to a group of 50 senior staff, consultants, and volunteer leaders.
April 30, 2010 - Republic of Malta
3rd Annual Conference of FinanceMalta -
Change & Opportunity: Sustaining Growth in a Stable Environment
Angelos Angelou will present on the country's current economic development project, Vision 2015, with emphasis on the financial services sector as well as participate in a panel discussion on the Malta Stock Exchange. Angelos will conduct a follow up session to discuss the results of a questionnaire completed by conference attendees in Angelos' first session.
May 3, 2010 - Austin, Texas
Economic Presentation to Texas Speaker of the House Joe Straus and Senior Staff
Angelos Angelou will present at a private luncheon with the Speaker and 4-6 key staff and economic experts to discuss economic and development trends in Texas.
May 25, 2010 - Silver City, New Mexico
New Mexico IEDC Economic Development Course
Steve Vierck, CEcD, will teach the course "Working with Prospects" at the Basic Economic Development Course hosted by Western New Mexico University.
June 9, 2010 - Cleveland, Ohio
27th Annual Meeting of MidTown Cleveland, Inc.
Angelos Angelou will keynote the 27th Annual Meeting of MidTown Cleveland, Inc. He will present the findings of the recently completed Cleveland Health & Technology Corridor Study to an audience of over 200 business, institutional and civic leaders who would have an interest in hearing how the Health & Technology Corridor project will further Northeast Ohio’s leadership in the biomedical and health care industries.
June 17-18, 2010 - Las Cruces, New Mexico
Economic Development Ph. D Program Symposium, New Mexico State University
Steve Vierck, CEcD, will teach "Economic Development Marketing for Results."
October 7, 2010 - San Antonio, Texas
2010 APA Texas Chapter Annual Conference
Angelos Angelou will present at the 2010 Annual Conference of the Texas Chapter of the APA.
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please email AE's Suzie Walker.