Skip to main content
Top
Published in: The European Journal of Health Economics 2/2009

01-05-2009 | Original Paper

The labor supply of registered nurses in Finland: the effect of wages and working conditions

Authors: T. Kankaanranta, P. Rissanen

Published in: The European Journal of Health Economics | Issue 2/2009

Login to get access

Abstract

Many countries report, to varying degrees, of suffering from a shortage of nurses. We examined both pecuniary and non-pecuniary factors that may be associated with nurses’ labor supply. We approximated a classical labor supply model and calculated the wage elasticities of hours of work and participation. Even though the wage elasticity was quite small, the effect on the hours supplied was significant. However, wages alone may not sufficiently increase the labor supply from the current stock of nurses; other elements, such as contractual conditions, seem to play an important role as well.
Literature
1.
go back to reference Antonazzo, E., Scott, A., Skåtun, D., Elliot, R.: The labour market for nursing: a review of the labour supply literature. Health Econ. 12, 465–478 (2003)CrossRef Antonazzo, E., Scott, A., Skåtun, D., Elliot, R.: The labour market for nursing: a review of the labour supply literature. Health Econ. 12, 465–478 (2003)CrossRef
2.
go back to reference Askildsen, J.E., Baltagi, B.H., Holmås, T.H.: Wage policy in the health care sector: a panel data analysis of nurses’ labour supply. Health Econ. 12, 705–719 (2003)CrossRef Askildsen, J.E., Baltagi, B.H., Holmås, T.H.: Wage policy in the health care sector: a panel data analysis of nurses’ labour supply. Health Econ. 12, 705–719 (2003)CrossRef
3.
go back to reference Ault, D.E., Rutman, G.L.: On selecting a measure of labour activity: evidence from registered nurses, 1981 and 1989. Appl. Econ. 26, 851–863 (1994)CrossRef Ault, D.E., Rutman, G.L.: On selecting a measure of labour activity: evidence from registered nurses, 1981 and 1989. Appl. Econ. 26, 851–863 (1994)CrossRef
4.
go back to reference Borjas, G.J.: Labor economics. McGraw-Hill, Singapore (1996) Borjas, G.J.: Labor economics. McGraw-Hill, Singapore (1996)
5.
go back to reference Buchan, J.: Nursing shortages and evidence-based interventions: a case study from Scotland. Int. Nurs. Rev. 49, 209–218 (2002)CrossRef Buchan, J.: Nursing shortages and evidence-based interventions: a case study from Scotland. Int. Nurs. Rev. 49, 209–218 (2002)CrossRef
6.
go back to reference Buerhaus, P.: Economic determinants of annual hours worked by registered nurses. Med. Care 29(12), 1181–1195 (1991)CrossRef Buerhaus, P.: Economic determinants of annual hours worked by registered nurses. Med. Care 29(12), 1181–1195 (1991)CrossRef
7.
go back to reference Chiha, Y.A., Link, C.R.: The shortage of registered nurses and some new estimates of the effects of wages on registered nurses labor supply: a look at the past and a preview of the 21st century. Health Policy 64, 349–375 (2003)CrossRef Chiha, Y.A., Link, C.R.: The shortage of registered nurses and some new estimates of the effects of wages on registered nurses labor supply: a look at the past and a preview of the 21st century. Health Policy 64, 349–375 (2003)CrossRef
8.
go back to reference Jones, A.M.: Applied econometrics for health economists: a practical guide, 2nd edn. Department of Economics and Related Studies, University of York (2005) Jones, A.M.: Applied econometrics for health economists: a practical guide, 2nd edn. Department of Economics and Related Studies, University of York (2005)
10.
go back to reference Nawata, K.: Estimation of the female labor supply models by Heckman’s two-step estimator and the maximum likelihood estimator. Math. Comput. Simul. 64, 385–392 (2004)CrossRef Nawata, K.: Estimation of the female labor supply models by Heckman’s two-step estimator and the maximum likelihood estimator. Math. Comput. Simul. 64, 385–392 (2004)CrossRef
12.
go back to reference Phillips, V.L.: Nurses’ labor supply: participation, hours of work, and discontinuities in the supply function. J. Health Econ. 14, 567–582 (1995)CrossRef Phillips, V.L.: Nurses’ labor supply: participation, hours of work, and discontinuities in the supply function. J. Health Econ. 14, 567–582 (1995)CrossRef
13.
go back to reference Shields, M.A.: Addressing nurse shortages: what can policy makers learn from the econometric evidence on nurse labour supply? Econ. J. 114, F464–F498 (2004)CrossRef Shields, M.A.: Addressing nurse shortages: what can policy makers learn from the econometric evidence on nurse labour supply? Econ. J. 114, F464–F498 (2004)CrossRef
14.
go back to reference Shields, M.A., Ward, M.: Improving nurse retention in the National Health Service in England: the impact of job satisfaction on intentions to quit. J. Health Econ. 20, 677–701 (2001)CrossRef Shields, M.A., Ward, M.: Improving nurse retention in the National Health Service in England: the impact of job satisfaction on intentions to quit. J. Health Econ. 20, 677–701 (2001)CrossRef
15.
go back to reference Skåtun, D., Antonazzo, E., Scott, A., Elliot, R.F.: The supply of qualified nurses: a classical model of labour supply. Appl. Econ. 37, 57–65 (2005)CrossRef Skåtun, D., Antonazzo, E., Scott, A., Elliot, R.F.: The supply of qualified nurses: a classical model of labour supply. Appl. Econ. 37, 57–65 (2005)CrossRef
16.
go back to reference Taipale, V., Risikko, P., Taipale, U., Turpeinen, A., Vallimies-Patomäki, M.: Sosiaali—ja terveydenhuollon työvoimatarpeen ennakointitoimikunnan mietintö. Sosiaali—ja terveysministeriö, Komiteamietintö 2001:7 (Report by the Committee on Estimation of Labour Demand in Social Welfare and Health Care, Committee Report 2001:7) (2001) Taipale, V., Risikko, P., Taipale, U., Turpeinen, A., Vallimies-Patomäki, M.: Sosiaali—ja terveydenhuollon työvoimatarpeen ennakointitoimikunnan mietintö. Sosiaali—ja terveysministeriö, Komiteamietintö 2001:7 (Report by the Committee on Estimation of Labour Demand in Social Welfare and Health Care, Committee Report 2001:7) (2001)
Metadata
Title
The labor supply of registered nurses in Finland: the effect of wages and working conditions
Authors
T. Kankaanranta
P. Rissanen
Publication date
01-05-2009
Publisher
Springer-Verlag
Published in
The European Journal of Health Economics / Issue 2/2009
Print ISSN: 1618-7598
Electronic ISSN: 1618-7601
DOI
https://doi.org/10.1007/s10198-008-0116-3

Other articles of this Issue 2/2009

The European Journal of Health Economics 2/2009 Go to the issue