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Chapter 3<br />

The impact of the <strong>crisis</strong> on the <strong>health</strong><br />

system <strong>and</strong> <strong>health</strong> in France<br />

Matthias Brunn, Karen Berg Brigham, Karine Chevreul <strong>and</strong><br />

Cristina Hernández-Quevedo<br />

Introduction<br />

In France, pre-existing fiscal pressures, which were aggravated by the <strong>economic</strong><br />

<strong>crisis</strong>, led to the continued use of a familiar set of cost-containment tools being<br />

implemented after 2008. In this sense, the main budgetary responses have<br />

not been specific to the <strong>economic</strong> <strong>crisis</strong>. So far, the business-as-usual focus<br />

on containing expenditure has been successful; for example, the <strong>health</strong> care<br />

budget deficit overall was halved between 2009 <strong>and</strong> 2012, in part through an<br />

increase in statutory <strong>health</strong> insurance revenues <strong>and</strong> efficiency improvements,<br />

despite increases in the consumption volumes of medical products <strong>and</strong> services.<br />

Nevertheless, it is not clear whether the full impact of the <strong>crisis</strong> is yet to come, <strong>and</strong><br />

barriers to more substantial reform are rooted in the institutional complexity of<br />

the French <strong>health</strong> care system, including the relationship between the state <strong>and</strong><br />

the statutory <strong>health</strong> insurance (SHI) system; the organizational structure <strong>and</strong><br />

payment system; <strong>and</strong> the lack of integrated <strong>and</strong> comprehensive approaches. In<br />

addition, the need to address the issue of equitable <strong>health</strong> financing is apparent,<br />

particularly given increases in private <strong>health</strong> expenditure <strong>and</strong> its impact on<br />

people with low incomes <strong>and</strong> high <strong>health</strong> needs.<br />

1. The nature <strong>and</strong> magnitude of the financial <strong>and</strong><br />

<strong>economic</strong> <strong>crisis</strong><br />

1.1 The origins <strong>and</strong> immediate effects of the <strong>crisis</strong><br />

The 2008 recession marked the end of a growth cycle in France dating back to<br />

2002, as the impact of the May 2007 subprime <strong>crisis</strong> finally manifested itself<br />

in the real economy. Growth had already begun to slow in the previous year<br />

in the face of falling housing investment, increasing trade deficits <strong>and</strong> rising

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