VCOM 2023 Annual Report

How VCOM Alumni Benefit the Economy of This Nation

T he National Center for the Analysis of Healthcare Data (NCAHD) conducted alumni tracking analysis on the fourteen non resident classes of alumni (3,132), finding 3,109 actively practicing (99%) in the United States. More than 70% of the alumni currently practice in VCOM’s target region. Physician economic impact research recently published by IQVIA (a research institute), conducted for the AMA of their physician Masterfile and IMPLAN data, was utilized by NCAHD in analyzing all of VCOM’s alumni. VCOM’s National Center for Rural Health Works recently updated the Primary Care Physician economic impact modeling tool, which was used to determine the impact of the primary care alumni. The state, local and federal tax data are national average values generated by the Tax Foundation.org and represent taxes generated on output spending which is a combination of operating expenses spent by the physicians practicing medicine.

RESULT: N ationally, VCOM alumni have created more than 290,000 jobs, over $53.8 billion in revenues and $24.1 billion in wages, salaries and benefits to the communities they serve across the nation over the last 14 years as they have practiced medicine. Within VCOM’s target region (see map on page 72) , our alumni have created nearly 197,000 jobs, more than $36.6 billion in revenue and $16.4 billion in wages, salaries and benefits. With more than 55% of VCOM alumni practicing a primary care specialty in rural (50%) and medically underserved areas (70%), the financial and employment impact contributes significantly to the stability of the communities they serve.

Using the IQVIA national multipliers, our economic impact research measures the direct, indirect and induced impact that VCOM alumni have upon the nation and our target region. The direct impacts include their patient revenue, jobs created, wages and benefits, and state and local tax revenues. The indirect impact measures the same impacts generated by the industries supported by physicians (e.g., nursing homes, pharmacies, laboratories, etc.). The induced effect measures the additional spending in the same impacts caused through spending from the support industries. For the primary care economic impact analysis, our multipliers reflect research that specifically measures the impact that many primary care physicians have upon a local clinic and the referring hospitals.

The Cumulative Non-Resident VCOM Practicing Alumni 2007-2019 Economic Impact Analysis*

Number of Graduate Physicians**

Total Output (Revenue) ($ in billions)*

Wages, Salaries & Benefits ($ in billions)***

State and Local Tax Revenue ($ in billions)***

Federal Tax Revenue ($ in billions)***

Total Jobs Created*

NATIONAL AND TARGET REGION (S outheastern United States) COMBINED ANALYSIS

All VCOM Alumni Primary Care Only

3,109 1,567

$53.8 $22.4

290,122 $188,730

$24.21

$12.2

$36.7 $14.9

$13.8

$5.0

APPALACHIAN AND DELTA TARGET REGION ONLY ANALYSIS

Target Region Alumni Primary Care Only

2,116 1,121

$36.6 $16.0

197,380 $135,233

$16.4

$8.3 $3.5

$24.8 $10.6

$9.9

*** All Physician multipliers values were compilated by NCAHD from the 2015 research conductd by the IQVIA for the AMA and Primary Care multipliers came from VCOM’s National Center for Rural Health Works (2019) https://ama-assn.org/sites/ama-assn.org/files/corp/media-browser/public/2018-ama-economic-impact study.pdf *** The physician data was provided by NCAHD from the 2023 Enhanced Stat Licensure (ESL). https://www.ncahd.org/esl-data/ *** The national average state/local and federal tax rates came from taxfoundation.org

SEPTEMBER 2023

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