Medical schools and teaching hospitals, it turns out, do a lot more than just train the nations future physicians, according to the Washington-based Association of American Medical Colleges. A report released today by the AAMC said its member medical schools and some 400 teaching hospitals generated a combined economic impact of $451 billion in 2005.
The AAMC said that total takes into account the direct and indirect business volume generated by these institutions, including institutional and employee spending and spending by patients, their families and visitors. Medical schools and teaching hospitals, which employ about 1.7 million people, generated more than $20 billion in state tax revenue in 2005, the AAMC estimated. In a national report charting the industrys overall economic impact, the American Hospital Association said all U.S. hospitals had a total economic impact of about $1.6 trillion in 2004. -- by Michael Romano