Analysts at major investment bank Goldman Sachs have pointed to Ozempic as a way to boost the US economy, claiming in a bizarre report that if more people took the weight loss drug, the GDP could grow at least 1 percent by 2028.
“The main reason we see meaningful upside from healthcare innovation is that poor health imposes significant economic costs. There are several channels through which poor health weighs on economic activity that could diminish if health outcomes improve,” wrote Jan Hatzius, the Chief Economist at Goldman. He pointed to the way obesity can keep some people out of the labor force.
“These estimates therefore suggest that obesity-related health complications subtract over 3 percent from per-capita output, implying an over 1 percent hit to total output when combined with the over 40 percent incidence of obesity in the US population,” Hatzius continued.
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GLP-1 drugs such as Ozempic and Mounjaro, which are supposed to be used to treat type 2 diabetes, are taken by non-diabetic people as a quick and easy way to lose weight. Other GLP-1 drugs, like Wegovy and Zepbound, are specifically marketed to treat obesity. All four of them are manufactured by pharmaceutical companies Novo Nordisk and Eli Lilly.
While the drugs do lead to weight loss—with some users dropping up to 20 percent of their body fat—and they have been proven to reduce risk of heart attack, stroke, and cardiovascular death, they have negative side effects as well. Nausea, vomiting, diarrhea, stomach pain, constipation, pancreatitis, low blood sugar, kidney problems/failure, allergic reactions, fever, and jaundice are all possible consequences—and those are just the ones Ozempic lists on its website.
A study from October in the Journal of the American Medical Association found that Ozempic and Wegovy (both of them having the same active ingredient, semaglutide) can lead to severe stomach problems, as can Saxenda (liraglutide).
According to a report from July, semaglutide was said to cause so much nausea and abdominal pain that it could produce depression and anxiety in the brain. Another side effect mentioned was thyroid tumors. Dr. Meera Shah, an endocrinologist at nonprofit medical company Mayo Clinic, noted that pancreatitis and gallbladder issues can lead to hospitalization.
GLP-1 drugs still face rounds of clinical trials before they can be more widely prescribed and covered by health insurance companies. Should they prove successful, the drugs could potentially be given to almost one hundred million Americans, as roughly 40 percent of the United States is considered obese.
“Combining current losses in hours worked and labor force participation from sickness and disability, early deaths, and informal caregiving, we estimate that GDP would potentially be over 10 percent higher if poor health outcomes did not limit labor supply in the US,” Hatzius said.
Shane Devine is a writer covering politics, economics, and culture for Valuetainment. Follow Shane on X (Twitter).
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