New study demonstrates that Utah’s clinical care physicians support 73,065 jobs, generate $12.3 billion in economic activity
Physicians add opportunity, growth and prosperity to the Utah economy by creating 73,065 jobs and generating $12.3 billion in economic activity, according to a new report, The Economic Impact of Physicians in Utah,released today by the Utah Medical Association (UMA) and the American Medical Association (AMA).
“While physicians are often recognized for their vital role in ensuring the health and well-being of the residents of Utah, their contributions to the economic health of the state often go unrecognized,” said UMA President Elizabeth Howell, MD. “In times of rapid change, we believe it is critically important for physicians to maintain strong practices that contribute to the economic well-being of the state.”
The study quantifies the economic boost that 5,489 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: Clinical care physicians support73,065jobs in Utah–13.3for each physician on average.
· Economic activity: Physicians generate $12.3 billion in economic output, comprising 8.2percent of the Utah economy. Each physician generates $2.2 million for the state economy on average.
· Wages & benefits: Physicians contribute $5.7 billionin total wages and benefits paid to workers across Utah, empowering a high-quality, sustainable workforce. Each physician contributes $1 million to workers’ wages and benefits on average.
· State and local tax revenue: Physicians’ contribution to the Utah economy generates $405.6 millionin state and local tax revenue for their communities–translating to $73,892 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, M.D., M.H.A. “The Economic Impact Study illustrates that physicians are woven into their local communities and have a vital role in fueling state economies by creating jobs, purchasing goods and services, and supporting public services through the tax revenue they generate.”
The report found that every dollar applied to physician services in Utah supports an additional $2.10 in other business activity. An additional eight jobs, above and beyond the clinical and administrative personnel that work inside the physician practices, are supported for each one million dollars of revenue generated by a physician’s practice. In addition, Utah’s clinical care physicians generate more economic output, produce more jobs and pay more in wages and benefits than Utah’s Legal Services, Higher Education, Nursing and Community Care Facilities or Home Health Services. This report does not include physicians that work in other industries, administrative, academic or research positions.
Across the country, physicians add $2.3 trillion to the U.S. economy, support more than 12.6 million jobs nationwide, contribute $1 trillion in total wages and benefits paid to U.S. workers, and generate $92.9 billion in state and local tax revenue.
To view the full report and an interactive map, please visit www.PhysiciansEconomicImpact.org.