This does occur in some states. Some students get loans repaid if they contract to work in rural areas for 5 years. I think this is still a symptom of too few

This does occur in some states. Some students get loans repaid if they contract to work in rural areas for 5 years. I think this is still a symptom of too few graduates. The acceptance rate of US medical schools fluctuates around 20%, so there is no shortage of applicants. There is a shortage of available slots (both in school, and residency positions). According to an old NIH study, a student's tuition only covers about 60% of the cost of a four year med-school education. Universities are also required to pay a portion of the salaries for residents in affiliate hospitals. So lots of money going out of schools, but not much coming in.