Florida - AARP

Florida The Longevity Economy is the sum of all economic activity in Florida that is supported by the consumer spending of households headed by someone age 50 or older—both in Florida, as well as spending on exports from Florida to other states. This includes the direct, indirect (supply chain), and induced economic effects of this spending. (The induced impact involves the ripple effects from the spending of those employed either directly or indirectly.) People over 50 contribute to the economy in a positive, outsize proportion to their share of the population. Despite being 39% of Florida’s population in 2013 (expected to grow to 41% by 2040), the total economic contribution of the Longevity Economy accounted for 54% of Florida’s GDP ($429 billion). This supported 58% of Florida’s jobs (6.1 million), 53% of employee compensation ($236 billion), and 67% of state taxes ($38 billion). The greatest number of jobs supported by the

% of population over 50

Longevity Economy were in health care (1,099,000), retail trade (1,074,000), and accommodation & food services (617,000). This $429 billion impact of the Longevity Economy was driven by $364 billion in consumer spending by over-50 households in Florida, or 58% of total comparable consumer spending. The categories where Longevity Economy spending accounted for the largest share of total consumer spending were health care (71%), other nondurables (63%), and financial services (62%). People over 50 also make a significant contribution to Florida’s workforce, with 62% of people 50-64 employed, compared to 73% of people 25-49. Overall, people over 50 represent 34% of Florida’s workforce. Among employed people, 15% of those 50-64 are self-employed entrepreneurs, compared with 11% of those 25-49. Additionally, 42% of those 50-64 work in professional occupations, compared to 41% 25-49.

Population by age Millions 30 25

22.8% 23.0%

20 18.7% 15 25-35%

10

35-45% 45-55%

20.0%

19.5% 17.4% 20.5% 31.2%

31.6%

31.1%

29.7%

28.8%

28.4%

2013

2020

2030

5

55-65% 65-75%

17.7%

31.0%

28.5%

0 © Crown Copyright

0–24

25–49

Sources Total population by age is from the Census 2013 population estimates. Population forecasts are from the Weldon Cooper Center for Public Service. County-level age distribution, labor force status, and occupation are from the 2012 American Community Survey. Consumer spending by age group is calculated for 2013 by Oxford Economics based on data from BEA Personal Consumption Expenditures, the BEA experimental state-level PCE series, and the BLS Consumer Expenditure Survey. The economic contribution of the Longevity Economy for 2013 is calculated by Oxford Economics using IMPLAN software. Benchmark statewide totals are from IMPLAN and relevant BEA NIPA tables.

50–64

2040 65+

Florida Economic contribution of the Longevity Economy

Jobs impact by sector

Retail trade

GDP

$428.7 billion 54%

Jobs

6,070,000 58%

Employee compensation $235.6 billion 53% State & local tax

Health care

$37.8 billion 67%

1,099,000

1,606,000

Accommodation & food services Other services

1,074,000

308,000

Administrative services Finance & insurance

444,000 444,000

Professional services

617,000 478,000

Other

Consumer spending

Other services1

Billions

Financial services

$400

Restaurants & hotels

$350

Health care

$300

Utilities

1. Other services include transportation, education, recreation, communication, professional, personal care, social/religious, and household maintenance services.

Other nondurable goods2

$250

Gasoline & other fuels

$200

Clothing

$150

Groceries

$100

Other durable goods

3

$50

Durable household goods

$0

Longevity Economy

100%

Occupation by age Not in labor force

Production, transportation

100%

90%

Unemployed

90%

80%

Private employee

80%

70%

Government employee

70%

60%

3. Other durables include recreational vehicles, audio/video equipment, computers, jewelry, eyeglasses, and books.

Motor vehicles and parts

Under 50

Labor force status by age

2. Other nondurables include pharmaceuticals, games, pet supplies, household supplies, personal care products, tobacco, and magazines.

Construction, agriculture Administrative support Sales

60% 50%

Food, cleaning, personal services

40%

40%

Health

30%

30%

20%

20%

Legal, protective, military

10%

10%

Science, engineering

Self-employed

50%

0%

0–24

25–49 50–64

65+

0%

Education, arts

0–24

25–49

50–64

65+

Management, business