|
|
 | |||||||||||||||||||||||||||||||||||||||
 | |||||||||||||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||||||||||||
Background Efforts at physician-payment reform in the United States have focused largely on the relative incomes of primary care physicians and specialists, who more often have procedure-based practices. Comparisons of the incomes of physicians and other professional groups have received less attention.
Methods We used standard financial techniques to determine the return on educational investment over a working lifetime for five groups of professionals: primary care physicians, specialist physicians, dentists, attorneys, and graduates of business schools.
Results In current dollars, the difference in the average future hourly income between a given professional and a high-school graduate of the same age, after educational expenses are subtracted (average hours-adjusted net present value of the educational investment) was greatest for specialist physicians and attorneys; dentists and businesspeople had intermediate values; and primary care physicians had the lowest value. The annual yield on the educational investment over a working life (hours-adjusted internal rate of return) was 15.9 percent for primary care physicians, as compared with 29.0 percent for businesspeople, 25.4 percent for attorneys, 20.9 percent for specialist physicians, and 20.7 percent for dentists. A sensitivity analysis showed that primary care physicians did less well in terms of the return on investment than the other groups even when we varied the assumptions in our model widely and that specialist physicians did less well than attorneys working in law firms and dental specialists.
Conclusions Students can expect a poorer financial return on their educational investment when they choose a career in primary care medicine than when they choose a procedure-based medical or surgical specialty, business, the law, or dentistry.
Source Information
From the Veterans Affairs Medical Center, White River Junction, Vt. (W.B.W., A.E.W., H.G.W.), and the Department of Psychiatry (W.B.W., A.E.W.) and Center for the Evaluative Clinical Sciences (H.G.W.), Dartmouth Medical School, Hanover, N.H. Mr. Wallace is a self-employed accountant in West Linn, Oreg.
Address reprint requests to Dr. Weeks or Dr. Welch at the Veterans Affairs Outcomes Group, 111B, Veterans Affairs Medical Center, White River Junction, VT 05009.
Related Letters:
Return on Educational Investment
Kaplan R. B., Melsha R., Baumgarten R. K., Weeks W. B., Wallace A. E., Welch H. G.
Extract |
Full Text
N Engl J Med 1994;
331:747-748, Sep 15, 1994.
Correspondence
This article has been cited by other articles:
HOME | SUBSCRIBE | SEARCH | CURRENT ISSUE | PAST ISSUES | COLLECTIONS | PRIVACY | HELP | beta.nejm.org Comments and questions? Please contact us. The New England Journal of Medicine is owned, published, and copyrighted © 2008 Massachusetts Medical Society. All rights reserved. |
Previous
