New study demonstrates that physicians support over 300,000 jobs and generate nearly $52 billion in economic activity
Michigan physicians fulfill a vital role in the state's economy by supporting 305,298 jobs and generating $51.9 billion in economic activity, according to a new report, The Economic Impact of Physicians in Michigan, released today by the Michigan State Medical Society (MSMS) and the American Medical Association (AMA).
"Michigan physicians pride themselves on providing outstanding quality care to their patients, and clearly, that aim provides a real spark to our state's economy," said Cheryl Gibson Fountain, MD, President of MSMS. "This study demonstrates the true extent of the positive impact Michigan physicians have, serving as job creators and revenue generators within our communities, in addition to delivering outstanding care to the patients we serve."
The study quantifies the economic boost that 23,591 active patient care physicians provide to the state's economy, producing a ripple effect that is felt statewide. The study measures physicians' impact using four key economic indicators:
- Jobs: Physicians support 305,298 jobs in Michigan (including their own). On average, each physician supports 12.94 jobs.
- Economic activity: Physicians generate $51.9 billion in economic output. Each physician generates $2,198,139 for the state economy on average.
- Wages and benefits: Physicians contribute $24.8 billion in total wages and benefits paid to workers across Michigan, empowering a high-quality, sustainable workforce. Each physician contributes $1,049,160 to workers' wages and benefits on average.
- State and local tax revenues: Physicians' contribution to the Michigan economy generates $1.9 billion in state and local tax revenue -- translating to $83,979 for each physician on average -- enabling community investments to be made.
"The positive impact of physicians extends beyond safeguarding the health and welfare of their patients," said AMA President David O. Barbe, MD, MHA. "The Economic Impact Study illustrates that physicians are woven in their local communities and have a vital role in fueling state economies by creating jobs, purchasing goods and services, and supporting service through the tax revenue they generate."
The study found that, in comparison to other industries, patient care physicians contribute more to the state economy than each of the following: higher education, nursing and community care facilities, legal services and home health industries.
To view the full report and an interactive map, please visit www.PhysiciansEconomicImpact.org.