An Economic Perspective

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Presentation transcript:

An Economic Perspective Health Policy Issues An Economic Perspective Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

Why Is Getting Into Medical School So Difficult? Chapter 23 Why Is Getting Into Medical School So Difficult? Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

LEARNING OUTCOME Explore how the market for medical education differs from other markets and how reform measures that increase competition would affect the performance of the medical education industry Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

Lecture The Market for Medical Education in Theory Exhibit 23.1 The Market for Medical Education in Practice Accreditation for Medical Schools Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

Lecture (continued) Recommended Changes Ease the Entry Requirements for Starting New Medical Schools Reduce Medical School Subsidies Place More Emphasis on Monitoring Physician Practice Patterns Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

Medical School Applicants and Enrollments, 1960–2013 Exhibit 23.1 Medical School Applicants and Enrollments, 1960–2013 return to lecture Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

Discussion How does low tuition contribute to the shortage of capacity in medical schools? Why is starting a new and innovative medical school so difficult? Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

Summary The competition among medical schools that would result from reducing their subsidies (or providing them directly to students) and permitting the opening of new schools would improve the performance of the market for medical education. Easing entry restrictions would make opening nontraditional schools (and innovating in existing schools) easier, allowing more qualified students to be admitted to a medical school. Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

Summary (Continued) Qualified students would no longer have to incur the higher expense and longer training times of attending a foreign medical school. Emphasizing outcome measures and appropriateness of care would better protect the public from incompetent and unethical physicians. Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.

Summary (continued) Reducing government subsidies to medical schools would force medical schools to be more efficient and innovative in structuring and producing a medical education. Further, distributing subsidies to students according to family income rather than to the medical school (which results in a subsidy to all students) would enhance equity among students receiving a medical education and force medical schools to compete for those students. Copyright © 2015 Foundation of the American College of Healthcare Executives. Not for sale.