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Norwegian

The labor supply of physicians and nurses

Number4107
Project managerSteinar Strøm
ClientHERO - Norges forskningsråd
Client project no.
ParticipantsMaria Laura Di Tommaso
Period2012 - 2012 (ended)

Project description

In this project we study how economic incentives and other attributes of jobs affect the labor supply of employed physicians and nurses. A dynamic random utility model, extended to deal with habit persistence, is estimated on paneldata from the late 1990s. The estimated models are used to calculate the impact of changes in wage rates and tax structure on labor supply. In the model nurses as well doctors can choose between different working loads, offered by the instititutions, and to work in hospitals and primary health care. The results indicate that the overall labor supply elasticites are low both for physicians and nurses. However, these modest responses shadow for stonger responses regarding specific job types. Thus, an overlall wage increase shift labour away from part-time jobs in the public and private sector to full time jobs in private hospitals. The tax reform of 2006 is estimated to give doctors and nurses incentive to move from part time jobs in the public sector to full time jobs in the private sector. The reform also give higher benefits to richer households than to the poor.

Publications

Other publications

Author(s):Title:Year:Reference:Link:
Strøm, SteinarA longitudinal analysis of employed doctors and nurses2012