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Related Experiment Videos

Differences in practice income between solo and group practice physicians.

Herng-Ching Lin1, Chin-Shyan Chen, Tsai-Ching Liu

  • 1School of Health Care Administration, Taipei Medical University, and Taipei Municipal Wan Fang Hospital, Taiwan.

Health Policy (Amsterdam, Netherlands)
|March 3, 2006
PubMed
Summary
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Physicians in group practices, both single-specialty and multi-specialty, earn higher incomes than those in solo practices. This finding supports policies encouraging group practice formation in Taiwan.

Area of Science:

  • Health Economics
  • Medical Practice Management
  • Physician Workforce Studies

Background:

  • Understanding practice organization impacts medical practice.
  • Physician income distribution is influenced by practice type and size.

Purpose of the Study:

  • To explore relationships between physician practice income, practice type, and practice size.
  • To inform policy regarding physician practice organization.

Main Methods:

  • Utilized a national database of 7757 office-based physicians from Taiwan's Department of Health (DOH).
  • Employed multiple regression analyses to model annual gross physician practice income.
  • Kruskal-Wallis tests assessed relationships between income, practice type, and physician numbers.

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Main Results:

  • Significant relationships were found between practice income and practice type (p<0.001).
  • Significant relationships were found between practice income and clinic size (p<0.001).
  • Physicians in single-specialty or multi-specialty group practices had higher incomes than solo practitioners, even after adjustments.

Conclusions:

  • Physicians in group practices (single or multi-specialty) generally achieve higher incomes than solo practitioners.
  • Findings support the DOH's policy recommendations for increased group practice formation in Taiwan.