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October 2006
The economic costs of obesity
Report by Access Economics Pty Limited to
Diabetes Australia
 
The economic costs of obesity
Disclaimer While every effort has been made to ensure the accuracy of this document, the uncertain nature of economic data,forecasting and analysis means that Access Economics Pty Limited is unable to make any warranties in relation to theinformation contained herein. Access Economics Pty Limited, its employees and agents disclaim liability for any loss or damage which may arise as a consequence of any person relying on the information contained in this document.
TABLE OF CONTENTS
Acknowledgements...............................................................................................................i
 
Glossary of common abbreviations....................................................................................ii
 
Executive summary.............................................................................................................iii
 
1.
 
Introduction.................................................................................................................1
 
1.1
 
Overview of this report............................................................................................................1
 
1.2
 
Cross-cutting methodological issues......................................................................................1
 
2.
 
Obesity.........................................................................................................................7
 
2.1
 
Definitions and measures.......................................................................................................7
 
2.2
 
Risks.......................................................................................................................................9
 
2.3
 
Aetiology...............................................................................................................................12
 
2.4
 
Prevalence in Australia.........................................................................................................16
 
2.5
 
Prevalence trends and projections.......................................................................................20
 
3.
 
Health Impacts of Obesity........................................................................................27
 
3.1
 
Diabetes................................................................................................................................27
 
3.2
 
CVD.......................................................................................................................................31
 
3.3
 
Osteoarthritis.........................................................................................................................35
 
3.4
 
Cancers.................................................................................................................................38
 
4.
 
Health Expenditures..................................................................................................42
 
4.1
 
Methodology.........................................................................................................................42
 
4.2
 
Diabetes................................................................................................................................42
 
4.3
 
CVD.......................................................................................................................................45
 
4.4
 
Osteoarthritis.........................................................................................................................47
 
4.5
 
Cancer..................................................................................................................................50
 
5.
 
Other (Non-health) Financial Costs.........................................................................53
 
5.1
 
Methodology.........................................................................................................................53
 
5.2
 
Diabetes................................................................................................................................58
 
5.3
 
CVD.......................................................................................................................................66
 
5.4
 
Osteoarthritis.........................................................................................................................71
 
5.5
 
Cancer..................................................................................................................................74
 
6.
 
Burden of Disease.....................................................................................................87
 
6.1
 
Methodology – Valuing life and health..................................................................................87
 
6.2
 
Diabetes................................................................................................................................90
 
6.3
 
CVD.......................................................................................................................................92
 
6.4
 
Osteoarthritis.........................................................................................................................95
 
6.5
 
Cancer..................................................................................................................................96
 
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