The word 医院 is formed by combining two meaningful characters: 医 (yī), which carries the core idea of "healing" or "medicine", and 院 (yuàn), which denotes a "courtyard" or "enclosed institution". Together, they conceptually merge to create the compound idea of a "healing institution" or a compound dedicated to medical treatment, which directly translates to "hospital". It is a straightforward semantic fusion where the first character specifies the function and the second character specifies the type of place.