EconPapers    
Economics at your fingertips  
 

Can Pay Regulation Kill? Panel Data Evidence on the Effect of Labor Markets on Hospital Performance

Carol Propper and John van Reenen ()

Journal of Political Economy, 2010, vol. 118, issue 2, 222-273

Abstract: In many sectors, pay is regulated to be equal across heterogeneous geographical labor markets. When the competitive outside wage is higher than the regulated wage, there are likely to be falls in quality. We exploit panel data from the population of English hospitals in which regulated pay for nurses is essentially flat across the country. Higher outside wages significantly worsen hospital quality as measured by hospital deaths for emergency heart attacks. A 10 percent increase in the outside wage is associated with a 7 percent increase in death rates. Furthermore, the regulation increases aggregate death rates in the public health care system. (c) 2010 by The University of Chicago. All rights reserved.

Date: 2010
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (37) Track citations by RSS feed

Downloads: (external link)
http://dx.doi.org/10.1086/653137 link to full text (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Can Pay Regulation Kill? Panel Data Evidence on the Effect of Labor Markets on Hospital Performance (2008) Downloads
Working Paper: Can Pay Regulation Kill? Panel Data Evidence on the Effect of Labour Markets on Hospital Performance (2008) Downloads
Working Paper: Can pay regulation kill? Panel data evidence on the effect of labor markets on hospital performance (2008) Downloads
Working Paper: Can pay regulation kill? Panel data evidence on the effect of labor markets on hospital performance (2008) Downloads
Working Paper: Can pay regulation kill? Panel data evidence on the effect of labor markets on hospital performance (2007) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ucp:jpolec:v:118:y:2010:i:2:p:222-273

Access Statistics for this article

More articles in Journal of Political Economy from University of Chicago Press
Bibliographic data for series maintained by Journals Division ().

 
Page updated 2018-12-08
Handle: RePEc:ucp:jpolec:v:118:y:2010:i:2:p:222-273