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The OECD is an international organization of 34 developed countries such as Australia, Canada, Germany, Japan, and the U.

S.[47] [48] , “results obtained with international comparisons should be treated with considerable caution,” but a “common and extremely robust result of international comparisons is that the effect of per capita GDP (income) on [healthcare] expenditures is clearly positive and significant….”[52] [53] * When the first wave of baby boomers reached the age of 65 in 2011, there were 4.5 Americans aged 20–64 for every American aged 65 or older.

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In countries with low mortality, elimination of fatal diseases by successful prevention increases healthcare spending because of the medical expenses during added life years.[63] * In 1993 through 2014, the annual operating profit margin (i.e., profit margin before interest expenses and taxes[64]) for all companies in the S&P 500 averaged 14.1%.

IT leaders are tasked with making technical magic, improving customer experience, and boosting the bottom line -- yet often without any increase to the IT budget.

How are organizations striking the balance between new initiatives and cost control?

As the baby-boom generation ages and projected life expectancy increases, the Social Security Administration projects that this ratio will drop to 3.5 to one by 2020 and to 2.8 to one by 2030.[56] [57] [58] Although different types of preventive care have different effects on spending, the evidence suggests that for most preventive services, expanded utilization leads to higher, not lower, medical spending overall. For example, many observers point to cases in which a simple medical test, if given early enough, can reveal a condition that is treatable at a fraction of the cost of treating that same illness after it has progressed.

In such cases, an ounce of prevention improves health and reduces spending—for that individual.

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