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A Discrete Choice Analysis of Norwegian Physicians’ Labor Supply and Sector Choice.

Forfattere:

Sæther, Erik Magnus

År:

2003

Referanse:

HERO Skrifter
Nummer i serie: 19

Summary

What is the effect of increased wages on physician’s working hours and sector choice? This study applies an econometric framework that allows for non-convex budget sets, non-linear labor supply curves and imperfect markets with institutional constraints. The physicians are assumed to make choices from a finite set of job possibilities, characterized by practice form, hours and wage rates. The individuals may combine their main position with an extra job, opening for a variety of combinations of hours in the respective jobs. I take into account the complicated payment schemes for physicians, taxes and household characteristics when estimating labor supply on Norwegian micro data. The results show a modest response in total hours to a wage increase, but a reallocation of hours in favor of the sector with increased wages.

Nøkkelord:

Physicians, discrete choice, labor supply

JEL:

C25, I10, J22

Prosjekt info:

Oppdragsgiver: Norges forskningsråd
Oppdragsgivers prosjektnr.:
Frisch prosjekt: 4101 - Økonomi og helse

Kontakt:

e.m.sather@frisch.uio.no

Finansiering:

NFR via HERO