Physicians "add opportunity, growth, and prosperity" to the Texas economy by creating 670,172 jobs and generating $117 billion in state economic activity, according to a new report on the economic impact of doctors in Texas.
The study by the Texas Medical Association and the American Medical Association seeks to quantify the effect of Texas’ 51,000-plus patient care physicians on the state’s economy.
Much of that impact radiates from Houston, which has a huge healthcare presence that is often called world-class.
The study measures physicians’ impact using four key economic indicators:
--Jobs: Physicians support 670,172 total jobs in Texas —13.1 jobs for each physician on average.
--Economic activity: Physicians generate $117.9 billion in economic output, comprising 7.3 percent of the Texas economy. Each physician generates $2.3 million for the local and state economy on average.
--Wages and benefits: Physicians contribute $55.4 billion in total wages and benefits paid to workers across Texas, empowering a high-quality, sustainable workforce. Each physician contributes $1.1 million to workers’ wages and benefits on average.
--State and local tax revenue: Physicians’ contribution to the Texas economy generates $3.5 billion in state and local tax revenue for their communities — translating to $68,599 in tax revenue paid for each physician on average — helping to pay for our schools, roads, criminal justice system, and health care services for all Texans.
The report found that every dollar applied to physician services in Texas generates an additional $2.13 in other business activity. An additional 7.66 jobs, above and beyond the clinical and administrative personnel that work inside physician practices, are supported for each $1 million of revenue generated by a physician’s practice. In addition, Texas physicians generate more economic output, produce more jobs, and pay more in wages and benefits than higher education, nursing and community care facilities, legal services, and home health.
Across the country, physicians add $2.3 trillion to the U.S. economy, support more than 12.6 million jobs, contribute $1 trillion in total wages and benefits paid to U.S. workers, and generate $92.9 billion in state and local tax revenue.