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U.S.

Population Aging and


Implications for Health Spending

Mark Mather, Associate Vice President, U.S. Programs, PRB

June 2015

POPULATION REFERENCE BUREAU | www.prb.org

2015 Population Reference Bureau. All rights reserved. www.prb.org

In the U.S., the Number of People Ages 65 and Older


Will Nearly Double By 2050.

2015 Population Reference Bureau. All rights reserved. www.prb.org

The Age Profile of the U.S. Population Has Shifted,


from the 1970s

Source: U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

Through the Present (2014)

Source: U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

And Into the Future (2030)

Source: U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

By 2030, More Than One in Five Americans Will Be


Ages 65 and Older.
Percent

NOTE: Percentages for subcategories may not sum to category totals due to rounding
SOURCE: Population Reference Bureau, analysis of data from U.S. Census Bureau.
2015 Population Reference Bureau. All rights reserved. www.prb.org

The Census Bureau Projects a 10-Fold


Increase in the Number of Centenarians

2015 Population Reference Bureau. All rights reserved. www.prb.org

By 2030, There Will Only Be Three Working-Age


Adults For Every Person Age 65 or Older.
Elderly Support Ratio: Number of persons ages 18-64 per person ages 65+

SOURCE: PRB analysis of data from the U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

Older Americans Make Up At Least 20 Percent of


the Population of One-Fifth of U.S. Counties.

SOURCE: PRB analysis of data from U.S. Census Bureau, Vintage 2012 Population Estimates.
2015 Population Reference Bureau. All rights reserved. www.prb.org

IMPLICATIONS FOR HEALTH


AND HEALTH CARE

2015 Population Reference Bureau. All rights reserved. www.prb.org

Social Security and Medicare Expenditures Are


Projected to Reach 12% of GDP by 2050.

2015 Population Reference Bureau. All rights reserved. www.prb.org

More People Are Living with Chronic


Diseases.

Longer life expectancies

Severe disabilities declining with advances in


health care

But many older adults at risk of chronic


diseases and premature death

Often linked to smoking, obesity, alcohol use

Socioeconomic status

2015 Population Reference Bureau. All rights reserved. www.prb.org

Obesity Rates Continue to Increase


Among Older Americans.
Percent obese

2015 Population Reference Bureau. All rights reserved. www.prb.org

Poor Diet, Lack of Exercise Impede Progress


on Reducing Premature Deaths.
Percent of Early Deaths (Before Age 80) by Cause

2015 Population Reference Bureau. All rights reserved. www.prb.org

More People Living With Dementia.

Affects 1-in-4 people over age 80

1-in-3 unpaid caregivers in U.S. helping


someone with dementia.

Providing 6 billion hours of unpaid care each


year

Dementia is the most costly U.S. health


condition ($215 billion per year).

These costs could more than double by


2040.
2015 Population Reference Bureau. All rights reserved. www.prb.org

Changes in Family Patterns May


Result in Fewer Family Caregivers.

High rates of divorce

Increasing cohabitation and nonmarital


childbearing

Lower fertility

Blended families

2015 Population Reference Bureau. All rights reserved. www.prb.org

Households Have Changed Significantly Since


the 1940s.
Percent

NOTE: Percentages for subcategories may not sum to category totals due to rounding.
SOURCE: U.S. Census bureau, Decennial Censuses and American Community Survey.
2015 Population Reference Bureau. All rights reserved. www.prb.org

Among Those Ages 85+, Over Half of Women and


Nearly a Third of Men Live Alone.
Percent

SOURCE: U.S. Census Bureau, Current Population Survey.


2015 Population Reference Bureau. All rights reserved. www.prb.org

Will Population Aging Affect Health


Care Spending?
Yes

For federal government and many states, local


areas
Current law hard to sustain for entitlement
programs
Rise in number of people with chronic conditions
Growing number of people with dementia
Potential shortage of caregivers and shrinking
social networks
2015 Population Reference Bureau. All rights reserved. www.prb.org

HOWEVER

2015 Population Reference Bureau. All rights reserved. www.prb.org

The U.S. Population is Relatively Young Compared


with Many Other Developed Countries.

2015 Population Reference Bureau. All rights reserved. www.prb.org

Compare the U.S. with Japan


(in 2030).
United States

Japan

Source: U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

Nearly Half of the U.S. Population will be


Racial/Ethnic Minorities by 2030.
Percent of U.S. Population by Race/Ethnicity: 1980-2030

SOURCE: PRB analysis of data from U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

But Children are Expected to Pass the


Majority-Minority Threshold Sooner.
Percent of U.S. Population Under age 18 by Race/Ethnicity: 1980-2030

Source: PRB analysis of data from U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

The Non-Hispanic White Population is Aging Rapidly


as Baby Boomers Reach Retirement Age.
Population by Age and Sex, U.S. White Alone, not Hispanic: 2014

SOURCE: U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

The Latino Population has a Younger Age Structure


Because of Higher Fertility and Past Immigration.
Population by Age and Sex, U.S. Hispanic or Latino: 2014

SOURCE: U.S. Census Bureau.


2015 Population Reference Bureau. All rights reserved. www.prb.org

Both Older Men and Older Women are


Working More.

2015 Population Reference Bureau. All rights reserved. www.prb.org

More Adults Ages 55+ Have Completed


College.

Source: U.S. Census Bureau, Current Population Survey.


2015 Population Reference Bureau. All rights reserved. www.prb.org

More Men Are Surviving to Old Age.


Number of men per 100 women

2015 Population Reference Bureau. All rights reserved. www.prb.org

More Options for Older Adults to


Maintain Their Independence

Residential options

Nursing facilities
Assisted Living
Home health care
Adult day care

Adaptations to help maintain


independence

Assistive devices
Home modifications
2015 Population Reference Bureau. All rights reserved. www.prb.org

Does U.S. Population Aging Really


Matter?
No

U.S. is young, relative to Europe


Population aging is selective, affecting some
groups more than others
Baby boomers can cope better than previous
generations

Better educated, working longer


Mens life expectancy improving relative to women

More options to remain independent


2015 Population Reference Bureau. All rights reserved. www.prb.org

Major Demographic Changes are


Underway

Aging baby boomers

Changes in family structure

More racial/ethnic minorities

Juxtaposition of older boomers (mostly white)


and children/young adults who are
increasingly Latino, Asian, multiracial

2015 Population Reference Bureau. All rights reserved. www.prb.org

Demographic Opportunities

Future elderly will be better educated

Labor force participation among those 65+


has increased and could help to offset
declining elderly support ratio

Increasing the future productive capacity of


todays youth can help to offset costs of an
aging society

2015 Population Reference Bureau. All rights reserved. www.prb.org

Thank You!
Mark Mather
202-939-5433
mmather@prb.org

2015 Population Reference Bureau. All rights reserved. www.prb.org

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