The Economic Contributions of Oregon’s Physician Practices Jo Isgrigg, Ph.D. Oregon Healthcare...

The Economic Contributions of Oregon’s Physician Practices

Jo Isgrigg, Ph.D.Oregon Healthcare Workforce InstituteRural Health Policy SummitJune 11, 2010

Nearing 4 million Oregonians

32 of Oregon’s 36 counties are Primary Care Health Professional Shortage Areas

329 new physicians annually

Purpose of the Study: Inform investments in Oregon’s physician workforce

Education Recruitment Retention

Study Partners

Oregon Healthcare Workforce Institute

Oregon Medical Education Foundation

Oregon Health & Science University

Oregon Area Health Education Center

Oregon Employment Department

Oregon Medical Association

Methodology 2008 State and county employment, income

and economic data from OED and OEA

Survey of large retail stores’ to obtain data on pharmacy workers

9,469 physicians with an Oregon practice address from June 2008 OMB database

IMPLAN model: input-output economic analysis

Included physician-related contributions to state and county:

Employment

Gross Domestic Product

State and local taxes paid through the contribution of physicians and physician-related employment

Analysis

Statewide, Oregon’s physician practices contributed 242,084 jobs to the state’s economy.

Multnomah: 58,283 Washington: 19,216 Lane: 18,005

Marion: 15,496Jackson: 12,338Clackamas: 9,951Deschutes: 9,330

Total Employment

0

10

20

30

40

50

60

Range: 12 – 48 total jobs per physician; State average: 25 jobs per physician

Total Employment Contribution (jobs) per Physician

Percent of Physician-Contributed Jobs in Labor Market

Statewide – 11% (Range 2% - 12%)

Wasco – 12%Coos – 12%Jackson – 10%Multnomah – 10% Deschutes – 9%Lane – 9%Douglas – 9%Josephine – 9%Klamath – 9%

Gross Domestic Product (GDP) is a basic measure of overall economic output

Physician Contribution to GDP

Statewide: $17.1 billion (11% of state’s GDP)

Multnomah: $4.2 billion`Washington: $1.48 billionLane: $1.17 billionMarion: $1.07 billionClackamas: $868.2 million

Per Physician Contribution to County GDP

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

2008

$m

illi

on

s

Contribution by physicians and physician-related employment to state and local taxes includes taxes paid on employee compensation, indirect business taxes, taxes paid by households, and taxes paid by corporations

Contribution to State and Local Taxes

Statewide: $1.46 billionMultnomah: $261.7 million

Washington: $124.4 million

Lane: $86.6 million

Marion: $77.79 million

Clackamas: $57.7 million

State and Local Tax Contributions per Physician (2008$)

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

$160,000

$180,000

Physicians create jobs. Investments in the physician workforce

payoff. The absence or loss of a physician has an

effect on the county economy. Health care access and a healthy local

economy are outcomes of the local health care infrastructure.

Physician recruitment and retention, then, are the obligation of the community.

Health and economic wellness

Health and economic wellness

Community

We welcome your feedback

Thank you!

Contact: joi@oregonhwi.orgwww.oregonhwi.org