Monopsony Power in the Market for Nurses

50 Pages Posted: 14 Apr 2007 Last revised: 15 Oct 2022

Date Written: July 1989

Abstract

Estimates are presented of the inverse elasticity of supply of nursing services to the individual hospital, a quantity which is a natural measure of employer market power. The estimates corresponding to employment changes taking place over one year are quite high (in the neighborhood of 0.79) and even for changes taking place over three years are substantial (in the neighborhood of 0.26). The estimates do not significantly differ for hospitals in major metropolitan areas and do not depend very sensitively on the assumed form of the oligopsony equilibrium.

Suggested Citation

Sullivan, Daniel G., Monopsony Power in the Market for Nurses (July 1989). NBER Working Paper No. w3031, Available at SSRN: https://ssrn.com/abstract=979940

Daniel G. Sullivan (Contact Author)

Federal Reserve Bank of Chicago ( email )

230 South LaSalle Street
Chicago, IL 60604
United States

Do you have negative results from your research you’d like to share?

Paper statistics

Downloads
59
Abstract Views
737
Rank
648,431
PlumX Metrics