Using data on births from Australia, we estimate the level of patient bargaining power in negotiations over birth timing. In doing so, we exploit the fact that parents do not like to have children born on the “inauspicious” dates of February 29 and April 1. We show that, in general, the birth rate is lower on these dates, and argue that this reflects parent preferences. When these inauspicious dates abut a weekend, this creates a potential conflict between avoiding the inauspicious date, and avoiding the weekend. We find that in approximately three-quarters of cases, this conflict is resolved in favor of the physician. This suggests that while doctors have more power than patients, patients are sometimes able to influence medical decisions for non-medical reasons.
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Paper provided by Centre for Economic Policy Research, Research School of Social Sciences, Australian National University in its series CEPR Discussion Papers with number
528.
Find related papers by JEL classification: I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
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