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Compensating Differentials and Unmeasured Ability in the Labor Market for Nurses

Why Do Hospitals Pay More

Bibliographic Data

ID3345019
AuthorsEdward J Schumacher (Trinity University), Barry T Hirsch (0000-0001-8417-2544, Georgia State University)
Year1997
Volume50
Issue4
Pages557
Publication date1997-07-01
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueIndustrial and Labor Relations Review (JOURNAL)
Journal identifiersISSN: 0019-7939 • E-ISSN: 2162-271X
PublisherJSTOR (PUBLISHER)
DOI10.2307/2525262
OpenAlexW3123107169
ISBN9793997050004
LanguageEN
Citations received13
References cited18

Registered nurses (RNs) employed in hospitals realize a large wage advantage relative to RNs employed elsewhere. Cross-sectional estimates indicate a hospital RN wage advantage of roughly 20%. This paper examines possible sources of the hospital premium, a topic of some interest given the current shifting of medical care out of hospitals. Longitudinal analysis of Current Population Survey data for 1979-94 suggests that a third to a half of the advantage is due to unmeasured worker ability, and the authors conclude that the remainder of the advantage probably reflects compensating differentials for hospital disamenities. Supporting these conclusions is evidence that hospital RNs have higher cognitive ability and higher-quality job experience than non-hospital RNs, and indications that shift work accounts for roughly 10% of the hospital premium

Actuarial science · Business · Current Population Survey · Demographic economics · Economics · Labour economics · Population · Quality (philosophy) · Wage · Work (physics) · Employment and Welfare Studies · Global Health Care Issues · Healthcare Policy and Management · Medicine

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Unique citing works11
Citations per year0,48
Citation span1999 - 2021 (23)
Citation velocityhistorical
Highly citedNo
Citation typesNeutral: 10

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