Health Economy

Reporting

Research Health Health Economy Reporting

Health Economy Reporting

Health is an investment, not a cost. But how do we show decision-makers the economic benefits of strengthening the health sector and its branches in concrete figures? WifOR developed Health Economy Reporting for this purpose: to equip stakeholders – from lawmakers to industry leaders – with actionable evidence that proves health and its activities support jobs, boost wealth, and drive growth.

What is Health Economy Reporting (HER)?

Health Economy Reporting makes the strategic role and macroeconomic impact of the Health Economy and its subsectors visible – underscoring value creation at the local, national, and international levels.

By providing quantitative insights on GDP contribution, employment, tax revenues, exports, imports, scenarios, and effects in other economic sectors, the framework is a steering instrument for political and corporate decision-making.

What is Health Economy Reporting used for?

Health Economy Reporting serves as scientific evidence for governments, industry associations, and companies on how health is a leading, future-oriented sector that drives innovation, resilience, and competitiveness. This supports industrial policy design, location development, external and internal communication strategies, and applications for funding programs. Additionally, the tool can incorporate benchmarks, trend analyses scenarios, and key recommendations for further guidance.

Which economic indicators does Health Economy Reporting assess?

Health Economy Reporting indicators, backed by research and proven methodologies, underscore that investing in health and its branches stimulates the broader economy. This catalyzes positive effects ranging from employment to wealth.

Goal of Health Economy Reporting

WifOR originally developed Health Economy Reporting for the German Federal Ministry for Economic Affairs over a decade ago to support policy action. Since then, its objective has been to provide scientific insights that guide decision-making at both the government and corporate levels.

Health Economy Reporting dashboard

The HER dashboard resulted from the collaboration with the Ministry. Available in English and German, the interactive platform allows users to compare sectors, see the evolution of metrics in time, and explore both European and German figures.

Explore the dashboard

Key metrics and figures

The quantitative indicators Health Economy Reporting covers are:

GDP contribution

Gross value added (GVA) generated by a particular health subsector or industry, calculated in euros or dollars and then translated into a percentage of GDP.

Employment

Jobs supported within a specific sector and in the supply chain.

Exports and imports

Contribution of a particular subsector or industry to the balance of trade of a country or region.

Effects in other sectors

Indirect and induced effects in the broader economy – for example, to determine how economic activity is fostered in adjacent industries.

Benchmarks

Development and key indicators of a health subsector in comparison to other branches.

Tax revenue

Tax income generated through economic activity in the Health Economy to show contributions to public finances.

Growth trends

Long-term developments and growth dynamics of health-related sectors.

Scenario impacts

Future economic effects of policy measures, investments, innovation initiatives, or market developments.

Example: Health Economy Reporting data in the EU (2025)

Scenarios and trend analyses

What are the long-term economic effects of enhanced digitalization or further Research & Development (R&D)? How many billion euros would be gained if smart investments were made in a particular subsector? How many jobs could be created if a branch expands?

Our Health Economy Reporting scenario analyses answer these questions. By assessing different policy measures, investment strategies, or market developments, we forecast how key economic indicators such as GDP, employment, and tax revenues develop over time. This provides evidence-based arguments for leaders to make targeted investments and implement projects with a positive socioeconomic impact. Scenario analyses help decision-makers identify growth opportunities, evaluate risks, and prioritize actions that strengthen the Health Economy in the long term.

“The analyses by WifOR Institute provide an exceptionally unique view of the healthcare industry. In particular, the economic significance of the e-health sector becomes clear. Reliable benchmark figures also make it possible to accurately assess and quantify its outstanding importance.”

Sascha Raddatz, Managing Director of the German Association for Healthcare IT – bvitg e.V.

“EuropaBio worked with WifOR to establish economic indicators for biotechnology and it was an excellent process of research and industry-oriented outcomes. It is a valuable part of our work to represent biotechnology in Europe.”

Claire Skentelbery, Director General EuropaBio

“I have learned a lot from WifOR Institute over the years, especially in how to look at health investments in a holistic way.”

Cristobal Thompson, Executive Director AMIIF

“The insight provided by WifOR has been hugely helpful for our research and advocacy, informing our work on health metrics and financing. WifOR has strengthened the tools we can use to shift the paradigm of viewing health as a cost, to seeing it as an investment.”

Hatice Küçük Beton, Executive Director The G20 Health & Development Partnership

Method

Our long-established model combines official statistics and public data sources from the respective countries under study, as well as European and international databases (e.g., national statistical offices, Eurostat, Destatis, OECD, and the World Bank). These are regularly updated to ensure current and comparable results. Using input-output (IO) analysis, Health Economy Reporting quantifies the direct, indirect, and induced economic effects of health-related industries across the broader economy.

Why is Health Economy Reporting an important instrument for decision-makers?

Stakeholders use these insights for practical purposes – including location planning, policy proposals, external communication strategies, and fundraising.

Case studies – How organizations use Health Economy Reporting (HER)

Local and international industry associations such as EuropaBio, IFPMA, and BVMed have requested HER analyses to assess the comprehensive impact of their industries (biotechnology, pharmaceuticals, and MedTech) on the broader economy. The results supported advocacy efforts, the creation of sector-specific strategies, and conversations with key stakeholders in business, politics, and science.

National and local governments have used HER as a crucial instrument to inform policies. Besides the dashboard created for Germany’s Ministry of Economic Affairs, examples include deep-dive studies for the Bavarian Ministry of Health and the city of Hamburg.

Companies such as Johnson & Johnson have cited HER insights as part of a global communications campaign on the value of health. HER data can be found in the white paper “Healthy Returns” created by WifOR and supported by J&J.