Micro Economic Analysis Paper
Project 1 – Microeconomic Analysis
Situation A
By: Unknown
ECON545
September 21, 2014
Professor Andrew Appelson
Introduction
“To Be on not to Be, that is the question,” a famous quote from Shakespeare poem Hamlet. My niece is interested in attending medical school and has solicited my professional opinion on whether it would be economical feasible for her to attend medical school and if so, the best location to practice medicine. There are many variables in determining the maximum benefit and/or advantages of medical school. Such variables could include but not limited to, gender, ethnicity, tuition, locations, schools, specialties, etc. This paper will touch on the advantages as well as some barriers which …show more content…
Not as much as you may Think,” will help us break down the demand determinant of availability of close substitutes. This article goes to analyze the author’s question on whether if it is worth becoming a physician. To determine the author’s answer, she compared the salary of a doctor to one of an average college graduate. In real numbers, not to say that these numbers are of current market value, but for the sake of this paper, the author states that a graduate can earn an income of $40,000.00, minus after-tax deduction; this graduate will take home $30,000.00 a year. A resident after medical school and for the next three years can expect to make about $40,000.00 a year. However, after the three years, a doctor can expect to make $150,000.00 a year as a family practitioner, which after taxes (approximately 33%), a take home pay annually for a family practitioner doctor is $100,000.00. To amortize the cost of medical school and the amount of one’s yearly income, it is predicted that to find the financial gain of a physician oppose to someone who received a four-year degree, a person will have to wait 13 years to see the financial advantage of going to medical school after all variables have been computed. In relative to years, a college graduate without medical school will graduate at the age of 22, however, one will not see financial relief until the age of 35 if continued on to a medical degree. To end this …show more content…
(2013). Bloomberg. Medical School at $278,000 Means Even Bernanke Son Has Debt. Retrieved from http://www.bloomberg.com/news/2013-04-11/medical-school-at-278-000-means-even-bernanke-son-carries-debt.html
Chen, M., & Chevalier, J. A. (2012). Are Women Over investing in Education? Evidence from the Medical Profession. Journal Of Human Capital, 6(2), 124-149.
Miqueo, C. (1999). Women and doctors in medicine. Lancet, 354SIV65.
Dacre, J., & Shepherd, S. (2010). Women and medicine. Clinical Medicine, 10(6), 544-547.
Illinois State University. Department of Economics. Profit Maximinzation. Retrieved from http://www.economics.illinoisstate.edu
McFarland, F., Smith, J., West, A., & Rhoades, R. (2000). African American female physicians in South Carolina: role models and career satisfaction. Southern Medical Journal, 93(10), 982-985.
Medical School Success (N.D.) Is Being a Doctor Worth It Financially? Not as Much as You May Think http://www.medicalschoolsuccess.com/is-being-a-doctor-worth-it-financially/
PR, N. (2012, October 12). The Best Places to Practice Medicine are Idaho, Alabama, Texas, Nevada, and South Carolina. PR Newswire US.
R. Glenn Hubbard, Anthony Patrick O 'Brien, Hubbard, O 'Brien. Economics. 4th Edition. Pearson Learning Solutions, 2012. Pg. 20. VitalBook file.
Situation A
By: Unknown
ECON545
September 21, 2014
Professor Andrew Appelson
Introduction
“To Be on not to Be, that is the question,” a famous quote from Shakespeare poem Hamlet. My niece is interested in attending medical school and has solicited my professional opinion on whether it would be economical feasible for her to attend medical school and if so, the best location to practice medicine. There are many variables in determining the maximum benefit and/or advantages of medical school. Such variables could include but not limited to, gender, ethnicity, tuition, locations, schools, specialties, etc. This paper will touch on the advantages as well as some barriers which …show more content…
Not as much as you may Think,” will help us break down the demand determinant of availability of close substitutes. This article goes to analyze the author’s question on whether if it is worth becoming a physician. To determine the author’s answer, she compared the salary of a doctor to one of an average college graduate. In real numbers, not to say that these numbers are of current market value, but for the sake of this paper, the author states that a graduate can earn an income of $40,000.00, minus after-tax deduction; this graduate will take home $30,000.00 a year. A resident after medical school and for the next three years can expect to make about $40,000.00 a year. However, after the three years, a doctor can expect to make $150,000.00 a year as a family practitioner, which after taxes (approximately 33%), a take home pay annually for a family practitioner doctor is $100,000.00. To amortize the cost of medical school and the amount of one’s yearly income, it is predicted that to find the financial gain of a physician oppose to someone who received a four-year degree, a person will have to wait 13 years to see the financial advantage of going to medical school after all variables have been computed. In relative to years, a college graduate without medical school will graduate at the age of 22, however, one will not see financial relief until the age of 35 if continued on to a medical degree. To end this …show more content…
(2013). Bloomberg. Medical School at $278,000 Means Even Bernanke Son Has Debt. Retrieved from http://www.bloomberg.com/news/2013-04-11/medical-school-at-278-000-means-even-bernanke-son-carries-debt.html
Chen, M., & Chevalier, J. A. (2012). Are Women Over investing in Education? Evidence from the Medical Profession. Journal Of Human Capital, 6(2), 124-149.
Miqueo, C. (1999). Women and doctors in medicine. Lancet, 354SIV65.
Dacre, J., & Shepherd, S. (2010). Women and medicine. Clinical Medicine, 10(6), 544-547.
Illinois State University. Department of Economics. Profit Maximinzation. Retrieved from http://www.economics.illinoisstate.edu
McFarland, F., Smith, J., West, A., & Rhoades, R. (2000). African American female physicians in South Carolina: role models and career satisfaction. Southern Medical Journal, 93(10), 982-985.
Medical School Success (N.D.) Is Being a Doctor Worth It Financially? Not as Much as You May Think http://www.medicalschoolsuccess.com/is-being-a-doctor-worth-it-financially/
PR, N. (2012, October 12). The Best Places to Practice Medicine are Idaho, Alabama, Texas, Nevada, and South Carolina. PR Newswire US.
R. Glenn Hubbard, Anthony Patrick O 'Brien, Hubbard, O 'Brien. Economics. 4th Edition. Pearson Learning Solutions, 2012. Pg. 20. VitalBook file.