CHICAGO - Physicians add opportunity, growth and prosperity to the national economy by creating 12.6 million jobs and generating $2.3 trillion in economic activity, according to a new report, The National Economic Impact of Physicians, released today by the American Medical Association (AMA).
"The positive impact of physicians extends beyond safeguarding the health and welfare of their patients," said AMA President David O. Barbe, M.D., M.H.A. "The AMA's economic impact study illustrates that physicians are strong economic drivers that are woven into their local communities by the commerce and jobs they create. These quality jobs generate taxes to support schools, housing, transportation and other public services in local communities."
The new study quantifies the economic boost that 736,873 patient care physicians nationwide provide to the economy. The study measures physicians' impact using four key economic indicators:
- Jobs: Physicians support 12.6 million jobs - 17.1 for each physician on average
- Economic activity: Physicians generate $2.3 trillion in economic output, comprising 13 percent of the national economy. Each physician generates $3.2 million on average.
- Wages and benefits: Physicians contribute $1 trillion in total wages and benefits paid to workers across the country, empowering a high-quality, sustainable workforce. Each physician contributes $1.4 million to workers' wages and benefits on average.
- State and local tax revenue: Physicians' contribution to the national economy generates $92.9 billion in state and local tax revenue for their communities - translating to $126,129 for each physician on average-enabling community investments to be made.
The report found that every dollar applied to physician services supports an additional $2.84 in other business activity. An additional 11 jobs, above and beyond the clinical and administrative personnel that work inside a physician practice, are supported for each one-million dollars of revenue generated by a physician's practice. In addition, physicians generate more economic output, produce more jobs and pay more in wages and benefits than professionals working in higher education, nursing and community care facilities, legal services and home health.
The report provides information on the economic impact of physicians nationally and in all 50 states and the District of Columbia. To view the full report and an interactive map, please visit www.PhysiciansEconomicImpact.org.