Review of US Medical School Finances, 1996-1997

Many medical schools are facing potential financial cutbacks unless they find other ways of raising revenue. Revenues of the 125 accredited US medical schools totalled $34,897 million in 1996-1997. Most of the money was derived from physician practices, grants and contracts, and hospital budgets. The revenue from physician practices has slowed during the 1990's. Federal revenues supporting research in medical schools have grown about 5% every year, but state and local appropriations have not kept up with inflation.