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Quantifying academic medicine's economic impact in areas ranging from taxrevenue to job creation, the report underscores the significant role Ohio'sseven medical colleges and affiliated teaching hospitals play in spurringgrowth as the state works to transform its economy.
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"Academic medicine is a critical growth engine for the state-spawningbiomedical investment, producing jobs, stimulating commerce in related goodsand services and generating tax revenue," notes David Stern, MD, chair of theCouncil, vice president for health affairs at the University of Cincinnati anddean of UC's College of Medicine. "Communities throughout Ohio rely on thestate's medical colleges for job creation and attraction of new out-of-stateand international investment as well as for high-quality health care."
Among the report's findings:
-- Despite flat or declining state funding, the economic impact ofacademic medicine has grown from $21 billion in 2002 to $37.2 billion in 2007.
-- For every $1 provided by the state in direct support for Ohio basedmedical colleges, approximately $10 was returned in tax revenue.
-- Ohio's academic health care industry is one of Ohio's lead generatorsof employment -- with 425,000 full-time positions, meaning one in every 12workers in Ohio works directly or indirectly for a medical school or teachinghospital.
-- Ohio ranked sixth in the nation, behind only New York, Pennsylvania,California, Massachusetts and Texas, in terms of the economic impact of itsacademic health care industry.
-- Ohio's seven medical colleges attracted nearly 66% of the $628 millionin highly competitive, National Institutes of Health research funding awardedto the state in 2007.
-- Medical school graduates who remain within the state after graduationto practice medicine represent an additional impact of nearly $700 millionannually.
"Mission-driven medicine is a win-win for Ohio," adds Stern. "This reportdemonstrates that our patient care, teaching and research missions have asignificant impact on commerce, investment, taxes and employment in thestate."
The report calculates the combined economic impact of businesses such asretail, tourism, service and manufacturing that benefit from the directexpenditures of the institutions and their staff on goods and services. Inaddition, Ohio businesses also benefit from spending generated by hospitalpatients, medical students and visitors as these "indirect" expenditures arere-circulated in the economy.
Founded in 1993, the Ohio Council of Medical Deans represents Ohio's sevenmedical colleges and teaching hospitals including Case Western ReserveUniversity School of Medicine, University of Cincinnati College of Medicine,Northeastern Ohio Universities Colleges of Medicine and Pharmacy, OhioUniversity College of Osteopathic Medicine, The Ohio State University Collegeof Medicine, The University of Toledo College of Medicine and Wright StateUniversity Boonshoft School of Medicine.
The report was produced by Tripp Umbach, which has conducted economicimpact studies for hundreds of health care institutions and medical collegesthroughout the country.
To learn more about the economic impact of Ohio's academic medical centersvisit www.medicinemeansbusiness.org .
Contact: 614-221-2885, Stephanie Tresso x15, Kathleen Murphy x16
SOURCE Ohio Council of Medical Deans
