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The interprovincial migration of Canadian physicians: does income matter?

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Author Info

  • Michael Benarroch
  • Hugh Grant

Abstract

This study applies a multinomial logit model of human-capital migration to examine the factors influencing the movement of physicians within Canadian provinces between 1976 and 1992. The empirical investigation covers general practitioners and specialists (it excludes interns/residents) between seven regions (Atlantic Canada, Quebec, Ontario, Manitoba, Saskatchewan, Alberta and British Columbia). The results suggest that differences in real income have a positive and significant effect on a physician's decision to migrate form one province to another. Provinces with the highest after tax income, highest expenditure per physician, and highest fee-per-service rates have the highest net rate of in-migration. Income differences are however, not the only factor influencing a physician's choice to move. Working conditions within a province, which we proxy with the number of hospitals beds and health expenditures per capita, are also important factors. Likewise, the ratio of rural to urban population, distance between the major city in each province and provincial population all have a negative impact on a physician's migration choice. Finally, a dummy variable is used to allow for language differences between Quebec and the rest of the provinces and find that language differences have a significant and negative impact on a physician decision to migrate.

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File URL: http://www.tandfonline.com/doi/abs/10.1080/0003684042000281543
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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 36 (2004)
Issue (Month): 20 ()
Pages: 2335-2345

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Handle: RePEc:taf:applec:v:36:y:2004:i:20:p:2335-2345

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References

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  1. Bolduc, Denis & Fortin, Bernard & Fournier, Marc-Andre, 1996. "The Effect of Incentive Policies on the Practice Location of Doctors: A Multinomial Probit Analysis," Journal of Labor Economics, University of Chicago Press, vol. 14(4), pages 703-32, October.
  2. Osberg, L. & Gordon, D. & Lin, Z., 1992. "Inter-Regional Migration and Inter-Industry Labour Mobility in Canada: A Simultaneous Approach," Department of Economics at Dalhousie University working papers archive 92-08, Dalhousie, Department of Economics.
  3. Christopher Ferrall & Allan W. Gregory & William Tholl, 1998. "Endogenous Work Hours and Practice Patterns of Canadian Physicians," Canadian Journal of Economics, Canadian Economics Association, vol. 31(1), pages 1-27, February.
  4. Joseph P. Newhouse & Albert P. Williams & Bruce W. Bennett & William B. Schwartz, 1982. "Does the Geographical Distribution of Physicians Reflect Market Failure?," Bell Journal of Economics, The RAND Corporation, vol. 13(2), pages 493-505, Autumn.
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Cited by:
  1. M. Olfert & Murray Jelinski & Dimitrios Zikos & John Campbell, 2012. "Human capital drift up the urban hierarchy: veterinarians in Western Canada," The Annals of Regional Science, Springer, vol. 49(2), pages 551-570, October.
  2. Dostie, Benoit & Léger, Pierre Thomas, 2006. "Self-Selection in Migration and Returns to Unobservable Skills," IZA Discussion Papers 1942, Institute for the Study of Labor (IZA).
  3. Nil Demet Gungor & Aysit Tansel, 2007. "Brain Drain from Turkey: An Investigation of Students’ Return Intentions," ERC Working Papers 0701, ERC - Economic Research Center, Middle East Technical University, revised Jan 2007.
  4. Maurus Rischatsch & Peter Zweifel, 2013. "What do physicians dislike about managed care? Evidence from a choice experiment," The European Journal of Health Economics, Springer, vol. 14(4), pages 601-613, August.
  5. McDonald, James Ted & Worswick, Christopher, 2012. "The migration decisions of physicians in Canada: The roles of immigrant status and spousal characteristics," Social Science & Medicine, Elsevier, vol. 75(9), pages 1581-1588.
  6. Benoit Dostie & Pierre Thomas Léger, 2006. "Self-Selection in Migration and Returns to Skills," Cahiers de recherche 0612, CIRPEE.

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