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Office of the Press Secretary

For Immediate Release October 6, 1993

The Costs of Failing to Reform Health Care

I. Health Care Spending Per Working American Will Be Over $7,000 In 1994.

        Working Americans will, on average, pay $1,864 directly for health
        care in 1994.  Their employers will pay $3,409 for health insurance
        and other medical payments.  Federal, State, and Local taxes for
        health care will total $2,149.

II. Without Health Care Reform, American Workers' Wages Will

Continue To Stagnate.

        The rapid growth in health care costs relative to the rest of the
        economy may have depressed wages by up to $1,000 since 1975.  If
        current trends continue without reform, real wages may be further
        reduced by over $600 by the end of the decade.

III. The Lack Of Security Affects Employment

        Many individuals are afraid to leave their current job, for fear that
        they will be unable to obtain insurance on a future job.  Some
        individuals do not work for small businesses or do not become
        self-employed because of the high cost of health insurance for these
        groups.  Many individuals on welfare would like to work but cannot
        take a job without losing Medicaid benefits.