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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
