Connect with us

Published

on

More widespread use of powerful weight-loss drugs like Ozempic in the U.S. could boost the economy in the coming years, according to Goldman Sachs strategists. 

The bank estimates that weight-loss drugs, called GLP-1 agonists, could increase the nation’s gross domestic product by an extra 1% over the next decade, the equivalent of about $360 billion per year. 

The thinking behind Goldman’s forecast is that poor health is a burden to economic growth, largely because it limits the number of available workers and hours worked due to increased missed days at work as a result of “sickness and disability, early deaths and informal caregiving.”

In fact, Goldman said that GDP in the U.S. would potentially be more than 10% higher if poor health outcomes did not affect the labor supply.

“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,” the analysts, led by Jan Hatzius, wrote.

Drug companies are vying to join what has largely been a two-horse race to make obesity drugs.

Novo Nordisk the maker of Ozempic and Wegovy and Eli Lilly, the producer of Mounjaro, skyrocketed in popularity last year amid runaway demand for the drugs, which are taken by A-listers including Oprah Winfrey and Tesla CEO Elon Musk.

Similar drugs could enter the market depending on clinical trials. 

The market is expected to top $100 billion by 2030, according to one estimate from JPMorgan.

Goldman projects that anywhere between 10 million to 70 million Americans will be taking weight-loss drugs by 2028.

The wide range stems from uncertainty over clinical trials, health insurance and available supply.

“If GLP-1 usage ultimately increases by this amount and results in lower obesity rates, we see scope for significant spillovers to the broader economy,” the analyst note said. “Academic studies find that obese individuals are both less likely to work and less productive when they do.”

The economy would grow by 0.4% in a scenario where there are 30 million users, and 1% if 60 million Americans were taking these types of drugs.

“Historically, health advancements have lowered the number of life years lost to disease and disability by 10% per decade in DM economies, and we estimate that a 10-year step forward in health progress in excess of current trends could raise the level of US GDP by 1%,” Hatzius said.

Continue Reading

Business

UK economy grows more than expected, according to official figures

Published

on

By

UK economy grows more than expected, according to official figures

The UK economy showed strong growth in the first three months of the year, according to official figures.

Gross domestic product (GDP) – the standard measure of an economy’s value – grew 0.7% in the first quarter of 2025, the Office for National Statistics said.

The rise is better than expected. An increase of just 0.6% was anticipated by economists polled by the Reuters news agency.

Money blog: Reaction as UK economy grows more than expected

It’s significantly better than the three months previous, in which a slight economic expansion of just 0.1% was reported for the final quarter of 2024.

Read more:
Burberry to cut 1,700 jobs after multi-million pound loss
Co-op updates on recovery after cyber attack forced empty shelves

The ONS also said there was a small amount of growth last month, as GDP expanded 0.2% in March, which similarly beat expectations.

No growth at all had been forecast for the month.

How did the economy grow?

A large contribution to high GDP growth was an increase in output in the production sector, which rose 1.1%, driven by manufacturing and a 4% increase in water supply, the ONS said.

Also working to push up the GDP figure was 0.7% growth in the biggest part of the UK economy – the services industry.

Please use Chrome browser for a more accessible video player

‘Here’s the concern with GDP figures’

Wholesale, retail and computer programming services all performed well in the quarter, as did car leasing and advertising, the ONS said.

It shows the economy was resilient, as the country headed into the global trade war sparked by President Trump’s so-called ‘liberation day’ tariff announcement on 2 April.

Welcome political news, for now

The data is welcome news for a government who have identified growing the economy as its number one priority.

Chancellor Rachel Reeves is taking the figures as a political win, saying the UK economy has grown faster than the US, Canada, France, Italy and Germany.

“Today’s growth figures show the strength and potential of the UK economy, ” she said.

“Up against a backdrop of global uncertainty, we are making the right choices now in the national interest.”

Follow The World
Follow The World

Listen to The World with Richard Engel and Yalda Hakim every Wednesday

Tap to follow

Such GDP numbers may not continue into April as businesses and consumers were hit with a raft of bill rises, and Mr Trump’s tariffs fired the starting gun on a global trade war.

Last month, water, energy and council tax bills rose across the country while employers faced higher wage costs from the rise in their national insurance contributions and the minimum wage.

But above-inflation wage growth and fading consumer caution could continue to boost the economy.

Continue Reading

UK

UK economy grows more than expected, according to official figures

Published

on

By

UK economy grows more than expected, according to official figures

The UK economy showed strong growth in the first three months of the year, according to official figures.

Gross domestic product (GDP) – the standard measure of an economy’s value – grew 0.7% in the first quarter of 2025, the Office for National Statistics said.

The rise is better than expected. An increase of just 0.6% was anticipated by economists polled by the Reuters news agency.

Money blog: Reaction as UK economy grows more than expected

It’s significantly better than the three months previous, in which a slight economic expansion of just 0.1% was reported for the final quarter of 2024.

Read more:
Burberry to cut 1,700 jobs after multi-million pound loss
Co-op updates on recovery after cyber attack forced empty shelves

The ONS also said there was a small amount of growth last month, as GDP expanded 0.2% in March, which similarly beat expectations.

No growth at all had been forecast for the month.

How did the economy grow?

A large contribution to high GDP growth was an increase in output in the production sector, which rose 1.1%, driven by manufacturing and a 4% increase in water supply, the ONS said.

Also working to push up the GDP figure was 0.7% growth in the biggest part of the UK economy – the services industry.

Please use Chrome browser for a more accessible video player

‘Here’s the concern with GDP figures’

Wholesale, retail and computer programming services all performed well in the quarter, as did car leasing and advertising, the ONS said.

It shows the economy was resilient, as the country headed into the global trade war sparked by President Trump’s so-called ‘liberation day’ tariff announcement on 2 April.

Welcome political news, for now

The data is welcome news for a government who have identified growing the economy as its number one priority.

Chancellor Rachel Reeves is taking the figures as a political win, saying the UK economy has grown faster than the US, Canada, France, Italy and Germany.

“Today’s growth figures show the strength and potential of the UK economy, ” she said.

“Up against a backdrop of global uncertainty, we are making the right choices now in the national interest.”

Follow The World
Follow The World

Listen to The World with Richard Engel and Yalda Hakim every Wednesday

Tap to follow

Such GDP numbers may not continue into April as businesses and consumers were hit with a raft of bill rises, and Mr Trump’s tariffs fired the starting gun on a global trade war.

Last month, water, energy and council tax bills rose across the country while employers faced higher wage costs from the rise in their national insurance contributions and the minimum wage.

But above-inflation wage growth and fading consumer caution could continue to boost the economy.

Continue Reading

Sports

Leafs forced to ‘look in the mirror’ after drubbing

Published

on

By

Leafs forced to 'look in the mirror' after drubbing

TORONTO — The Maple Leafs‘ offense was missing in action again in Game 5 of the Eastern Conference semifinals Wednesday night, as a 6-1 loss to the Florida Panthers now has Toronto facing playoff elimination.

The Leafs, who were shut out 2-0 in Game 4, didn’t score until the final two minutes of Game 5 and now trail 3-2 in the best-of-seven series after holding a 2-0 lead.

Toronto’s top skaters were, again, invisible. Auston Matthews, Mitch Marner and William Nylander have yet to record a goal in the second round. And now the Leafs will have to log consecutive wins to extend their postseason.

“I think everybody’s got to look in the mirror,” Matthews said. “Myself included. Everybody wants to be better. Everybody wants to win.”

Matthews has just three goals in the Leafs’ last 21 games. He was third on the team in regular-season scoring, with 33 goals in 67 games.

It wasn’t just Matthews, though. Toronto was lifeless from the start of Game 5 and never seemed to challenge Florida at either end of the ice.

The Panthers heavily outplayed the Leafs throughout the first period, and it was defenseman Aaron Ekblad who finally beat goaltender Joseph Woll to give Florida a 1-0 lead through 20 minutes.

While Woll kept Toronto in a tight matchup, it was clear already the Leafs were struggling to keep up with the Panthers.

“We played slow,” Toronto coach Craig Berube said. “They were fast, they were on us, they were hungrier. That’s the first period, and that sets the tone for the game. It is hard to explain it. We all need to be better, me included. You can’t start the game that way, that’s a big thing for me.”

The Panthers opened the floodgates in the second period, helped by a landslide of Leafs mistakes. Dmitry Kulikov extended Florida’s lead with a goal tipped in by Leafs forward Scott Laughton‘s stick. Then Marner’s attempt to execute a spinning backhand pass in his own zone led to a turnover in the neutral zone that was picked up by Jesper Boqvist and snapped past Woll to give Florida a 3-0 lead midway through the second frame.

Boqvist entered the lineup in Game 5 to replace the injured Evan Rodrigues, who left Sunday’s Game 4 following a hit from Leafs defenseman Oliver Ekman-Larsson.

Niko Mikkola made it 4-0 before the end of the period, giving three Florida defensemen goals on the night.

By the time A.J. Greer scored Florida’s fifth goal — the first playoff make of his career — in the third period, it was time for Toronto to make a change in net, with Woll being replaced by Matt Murray.

Frustrated fans, who had booed the Leafs off their own ice to end the second period, began throwing items onto the sheet, including a Matthews jersey. People were exiting in droves by early in the third period.

“We didn’t give them much reason to stick around,” Matthews said.

Woll finished the game with five goals on 25 shots for an .800 save percentage.

Florida wasn’t done after Woll’s departure, though, with Sam Bennett adding a power play goal to give the Panthers a 6-0 lead halfway through the third period.

Toronto’s top skaters have had no response for Florida’s suffocating pressure — or Sergei Bobrovsky‘s impressive play.

Since giving up 13 goals to Toronto through the series’ first three games, Bobrovsky has been airtight in denying the Leafs any opportunity to score.

Berube tried making adjustments. He inserted David Kampf and Nicholas Robertson into the lineup for Game 5 to try and generate a spark, and moved Max Pacioretty to the top line during the game in an effort to generate some momentum. Nothing seemed to help.

Toronto hadn’t registered a goal since 10:56 of the third period of Game 3 until Robertson put one past Bobrovsky with 90 seconds left Wednesday night. It was all too little, too late.

“Tonight, it wasn’t a good game for anybody,” Berube said. “Anybody. All of us. it was not a good game.”

Leafs defenseman Chris Tanev was quick to shoulder the burden of Toronto’s defeat, echoing a refrain heard around the locker room from players determined not to let this be the penultimate game of their season.

“I’ll take responsibility,” Tanev said. “I need to be better. If I’m a minus player [at minus-2 in Game 5], we’re probably not going to win the game. It’s on me. I’ll take responsibility for the game.”

Game 6 is Friday in Florida.

Continue Reading

Trending