The American Medical Association recently released the 2018 AMA Economic Impact Study that shows the extent to which physicians drive the national and state economies and support their local communities. Offering a clear picture of the vast network of local jobs and local investments that physicians support, the study’s findings include:
- Economic activity: Physicians generate $2.3 trillion in economic output, comprising 13 percent of the national economy.
- Jobs: Physicians’ economic investment supports 12.6 million jobs nationwide—more than 17 jobs for each physician 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.
- State and local tax revenue: Physicians and the workforces they support generate $92.9 billion in state and local tax revenue for their communities—revenue that enables community investments.
Physicians create an economic ripple effect in their communities
- Every dollar applied to physician services supports an additional $1.84 in other business activity.
- An additional 11 jobs—above and beyond the clinical and administrative personnel that work inside the physician practices—are supported for each 1 million dollars of direct output produced by a physician’s practice.
- Physicians contribute more to the national economy than legal services, home health care, higher education, and nursing home and residential care.
Supporting physicians benefits local economies
In a health care environment that is currently undergoing many changes, this study underscores and quantifies for lawmakers, regulators and policymakers the importance of supporting the physician workforce. Communities benefit directly from a positive practice environment for physicians, and it is critical to protect and improve the programs and policies that help support physician practices.
To learn more about the economic contributions physicians make in your state and across the country, view the 2018 AMA Economic Impact Study online.