FOR IMMEDIATE RELEASE
Wright State University Boonshoft School of Medicine generated $850.5 million economic impact, 13,000 jobs in 2007
New study reports Ohio's seven medical schools, 105 affiliated hospitals responsible for $37 billion economic impact, one in 12 jobs statewide
DAYTON, Ohio-The Wright State University Boonshoft School of Medicine, its medical student education and research enterprise, its faculty practice plan (Wright State Physicians) and the resident training and research enterprise of its affiliated hospitals contributed $850.5 million to the state's economy in 2007, according to a recent study commissioned by the Ohio Council of Medical Deans. During the same period, they generated $24 million in state government revenue and were responsible for supporting 13,334 jobs.
In addition to its firsthand impact, the medical school has an extensive network of operations from which its faculty, staff, researchers, students, and residents influence the academic and research health care industry of Ohio. Just as it would be presumptive to attribute the statewide operational impact of its affiliated hospitals to the medical school, it would be overly limiting to consider only the operations of the school itself.
The impact of the entire "academic health care industry" associated with the medical school, which includes the full activity of core and non-core affiliated hospitals, is substantially greater. Using these parameters, the study reports an economic impact of $3.1 billion, $89.9 million in state government revenue and support for more than 46,000 jobs.
The study reports that the statewide academic health care industry, encompassing Ohio's seven medical schools and their 105 teaching affiliates, contributed $37.2 billion to the state economy in 2007, an increase of approximately $16.5 billion since 2002, and employed 425,000 people-or one in 12 Ohioans.
Quantifying academic health care's economic impact in areas ranging from tax revenue to job creation, the report underscores the significant role Ohio's seven medical schools and their affiliated teaching hospitals play in spurring growth as the state works to transform its economy.
Although the report focuses on statewide economic impact, the Boonshoft School of Medicine and its affiliates have a direct and substantial affect on the Dayton Region and local communities within it, where most spending, employment and visitor activity takes place.
"We are proud of the role the medical school and Wright State Physicians play as active members of our community," said dean Howard M. Part, M.D. "Our strong partnerships with seven major teaching hospitals and health care institutions throughout the region form the foundation of our innovative community-based educational model."
"This model clearly benefits our students by providing exposure to outstanding physicians and diverse patients in a variety of settings," Part added. "To learn that it also contributes so much to our regional and state economy-both directly and through the continuing impact of our school, faculty, staff, students, residents and alumni-is deeply gratifying."
Among the report's other findings:
"Academic medicine is a critical growth engine for the state -- spawning biomedical investment, producing jobs, stimulating commerce in related goods and services and generating tax revenue," notes David Stern, M.D., chair of the Council and vice president for health affairs, and dean, College of Medicine, University of Cincinnati. "Communities throughout Ohio rely on the state's medical colleges and teaching hospitals for job creation and attraction of new out-of-state and international investment as well as for high-quality health care."
The report calculates the combined economic impact of businesses such as retail, tourism, service and manufacturing that benefit from the direct expenditures of the institutions and staff on goods and services. In addition, Ohio businesses also benefit from spending generated by hospital patients, medical students and visitors as these "indirect" expenditures are re-circulated in the economy.
Founded in 1993, the Ohio Council of Medical Deans represents Ohio's seven medical colleges and teaching hospitals. Members include Case Western Reserve School of Medicine, University of Cincinnati College of Medicine, Northeastern Ohio Universities Colleges of Medicine and Pharmacy, Ohio University College of Osteopathic Medicine, The Ohio State University College of Medicine, The University of Toledo College of Medicine and Wright State University Boonshoft School of Medicine.
The report was produced by Tripp Umbach, which has conducted economic impact studies for hundreds of health care institutions and medical colleges throughout the country.
Download an executive summary of the Boonshoft School of Medicine report at med.wright.edu/whatsnew/2008/economics.pdf.
To learn more about the economic impact of Ohio's academic medical centers or download a full copy of the Boonshoft School of Medicine report visit http://www.medicinemeansbusiness.org.