Hospital Demand for Residents --Some Preliminary Results and Suggestions for Further Research.

by Frank A. Sloan

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Formulation of a mathematical model to investigate the demand for residents by hospitals. A study of published data of 99 departments of ophthalmology yielded information about the educational function of a hospital and that of a nonprofit institution. In general, stipends in internal medicine, obstetrics-gynecology, and ophthalmology are almost identical, but those in psychiatry are higher. A mathematical equation is constructed that considers four independent variables which act on the number of residencies offered by the hospital: stipends, affiliation, average daily census, and outpatient visits. Empirical results of the model indicate that public support of resident salaries would have substantial impact on the number of residents demanded by hospitals, since hospital residency programs expand in response to demand pressures. In a larger context, the equation seems to confirm a belief that the location of residency is a factor in determining the location of physicians' practices.

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