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Rural Hospital Closures and Growth in Employment and Wages

Author

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  • Kelly D. Edmiston

Abstract

Since 2011, 74 hospitals have closed in rural counties isolated from larger towns. I evaluate the implications for employment and aggregate wage growth in these counties and find that hospital closures are associated with substantially lower annual growth in county employment and aggregate wages. Smaller counties with a greater share of hospital employment in total employment may see the most severe economic outcomes.

Suggested Citation

  • Kelly D. Edmiston, 2019. "Rural Hospital Closures and Growth in Employment and Wages," Economic Bulletin, Federal Reserve Bank of Kansas City, issue July 16, , July.
    • Handle: RePEc:fip:fedkeb:00006
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    File URL: https://www.kansascityfed.org/documents/5432/2019-Rural%20Hospital%20Closures%20and%20Growth%20in%20Employment%20and%20Wages.pdf
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    Cited by:

    1. Alexander, Diane & Richards, Michael R., 2023. "Economic consequences of hospital closures," Journal of Public Economics, Elsevier, vol. 221(C).

    More about this item

    Keywords

    Hospitals; Employment;

    JEL classification:

    • J20 - Labor and Demographic Economics - - Demand and Supply of Labor - - - General
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure

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