Objective:

To identify states with the lowest costs for operating a medical practice based on various economic indices.

Approach:

Key Findings:

• Arkansas has the lowest practice expense GPCI at 0.859 and malpractice GPCI at 0.515.
• Mississippi follows with a practice expense GPCI of 0.861 and malpractice GPCI of 0.739.
• Alabama, Kentucky, and Oklahoma also rank low in practice expenses.
• Iowa has the lowest malpractice GPCI at 0.397.
• New Mexico has a higher practice expense GPCI of 0.917 but the highest malpractice GPCI at 1.201.

Interpretation:

States with lower GPCI and regional price parity are more favorable for physicians considering practice locations, impacting operational costs significantly.

Limitations:

• Data is specific to 2026 and may not reflect future changes.
• Regional price parity may not account for all local economic factors.

Conclusion:

Physicians should consider both GPCI and regional price parity when deciding on practice locations, as these factors significantly influence operational costs.

Sources:

• Bureau of Economic Analysis
• Centers for Medicare & Medicaid Services
• Tennessee Department of Revenue
Attribution Notice

This content is an AI-generated, fully rewritten summary based on a published scholarly article. It does not reproduce the original text and is not a substitute for the original publication. Readers are encouraged to consult the source for full context, data, and methodology.