Treasury Secretary Yellen said restrictions on abortion would hurt the US economy. There are important studies to prove this

Roe v. The fight over Wade was framed as a human rights issue. It is a matter of morality, ethics and religion. all true abortion It is also an economic issue.

On Tuesday, Politico released a leaked draft opinion overturning Roe in the Supreme Court. This opinion denies federal rights to abortion and paves the way for 13 states to support restrictive abortion bans.

Reversing Roe vs. Wade will have far-reaching financial implications. Americans are more likely to refuse an abortion. experience povertyquit the workforce raise children in poverty. They are also more likely to be dependent. Social services like Medicaid, the cost may be passed on to the taxpayer. The decline in these women’s labor participation rates, their financial hardship, and the greater impact on inequality in America will have ripple effects on the US economy. economyPolicy experts and economists told Insider.

The risk is high, as indicated by the fact that it is an anomaly. 150 labor and market experts In September 2021, Roe v. Signed a 73-page brief in support of Wade. Jason Lindo was one of them.

“The additional barriers will also lower educational attainment, reduced employment and lower income levels for individuals who do not undergo abortion,” said Lindo, a professor of economics at Texas A&M University. Researcher at National Economic Research Institute.

By number: Economic and financial impact on women

  • Women whose abortions are denied are more likely to miss bills, go bankrupt, and access social services than other women of the same socioeconomic status. 2020 study Led by University of Michigan economist and researcher Sarah Miller.
  • Abortion restrictions cost an estimated $105 billion a year due to declining earnings, increased turnover and the vacation required for women aged 15 to 44. 2021 analysis This is a study by the Institute for Women’s Policy Research, a think tank advocating for women from marginalized backgrounds.
  • “Young women who used legal abortion to delay unplanned births by just one year realized their hourly wages increased by 11% later in their careers.” shortQuotation 2019 study In the words of economist Ali Abboud, revised in 2020.

Most people have abortions because of money or job problems.

multiple independence Research Research It shows that the number one reason people get abortions is to raise pre-existing children without going to work, school, or falling into poverty.

The risk is real. Unplanned births reduce workforce participation by up to 25%. Research Boston University published in 2010. According to Miller’s 2020 report, Americans who refuse abortions with unintended pregnancies face rising bill delinquency rates, dealings with collection agencies, bankruptcy and access to social services. study.

Miller and her colleagues said, “Women who are denied abortions experience a significant increase in financial pain that lasts for many years.” wrote.

It is a concern for many people. that much Gutmacher InstituteA reproductive health research group that supports abortion rights found in 2014 that nearly a quarter of women would have an abortion by the end of their childbearing years. dropped to 44 recent years.

“There is a lot of rigorous research indicating that restricting access to abortion should be expected to have a detrimental effect on the economic situation of women and their families,” said Lindo.

Lack of access to abortion means continuing financial hardship for families

Miller’s study highlights that denial of abortion access can lead to years of economic hardship. The cumulative effect increases pressure on taxpayer support social services such as: WIC And about Medicaid, she told Insider.

“Using social services isn’t inherently problematic. If you can’t control when you have children, you risk serious financial instability and inability to become financially self-sufficient. That’s enough,” Miller said. .

Financial difficulties are also harmed as the person’s children grow up. Children who grow up in poverty are more likely to experience poverty as adults, and that chance increases every year. 2009 study Columbia University Center for Poor Children

“If you grow up in a poor family, you’ll have worse long-term outcomes, which will happen when they reach adulthood,” said Lindo. “It has a cross-generational effect.”

Women’s Policy Research Institute estimated In 2021, abortion restrictions will cost the United States approximately $105 billion per year due to declining earnings, impacts on labor participation, increased turnover, and leave for women of childbearing age.

“We’ve definitely seen Roe’s impact on women and their families,” Caitlin Myers, an economist at Middlebury College, previously told Insider.

Declining labor force participation and rising poverty reduce GDP

Tighter restrictions on abortion have already affected the US economy. “The annual cost of unintended pregnancies in the United States increased from $4.6 billion in 2011 to $5.5 billion in 2018.” 2019 study Found at RTI Health Solutions.

The study’s authors wrote, “The true economic burden is likely to be higher when you consider child rearing and overhead costs.”

At the same time, low fertility rates (the impact of access to abortion) increase women’s labor supply and contribute positively to GDP. Harvard University Studies From 2009.

Emily Martin, vice president of education and workplace justice at the National Women’s Law Center, told Insider that not having an abortion can harm not only those who want it, but also their children and families. .

“What happens in the Supreme Court will have ripple effects on businesses, state and local economies and families, including men,” said C. Nicole Mason, chief executive officer of the Institute for Women’s Policy Research. said.

Abortion bans increase economic inequality

Young women and women of color, especially black and Hispanic women, will be most affected if Roe v. Wade is overturned.

For example, 77% of women undergoing abortions in Mississippi are black or Hispanic and 20% are white. According to the Kaiser Family Foundation, a non-partisan health non-profit organization, In Texas, 67% of women who have abortions are black or Hispanic and 26% are white.

“The women who will be most impacted by these bans are women of color who are already economically vulnerable, including women on hourly wages and those without paid sick leave or leave,” Mason said.

Americans in a few of the 13 states would have to drive or fly for hours or days to access abortion services, Mason noted. This may be banned for people with low-paying jobs, who don’t get vacation from their employers, or who simply can’t afford it. This will have racist effects: black and Hispanic women low-wage jobs And More likely to make less money than whites.

More specifically, increasing the distance traveled up to 100 miles to have an abortion increases the fertility rate by 3.4% for women 20-24 years old and 1.4% for women 25-29 years old. The birth rate for white women increased by 2.1%, compared to 3.3% for black women. 2021 study Found at Middlebury College.

Miller’s 2020 said, “Given that affected women tend to be disproportionately low-income, these impacts may serve to further exacerbate or exacerbate existing economic inequalities.” study said.

A study by economics professor Ali Abboud suggests that abortion benefits women. economically.

“I think this is one of the darkest days of American democracy we’ve seen in 50 years,” Mason said. “And it’s inconsistent with our values ​​of freedom and liberty for everyone here in America.”


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