Bargaining Over Labor: Do Patients Have Any Power?
We provide a new method of identifying the level of relative bargaining power in bilateral negotiations using exogenous variation in the degree of conflict between parties. Using daily births data, we study negotiations over birth timing. In doing so, we exploit the fact that fewer children are born on the "inauspicious" dates of February 29 and April 1; most likely, we argue, reflecting parental preferences. When these inauspicious dates abut a weekend, this creates a potential conflict between avoiding the inauspicious date (the parents' likely preference), and avoiding the weekend (the doctor's likely preference). Using daily births data, we estimate how often this conflict is resolved in favor of the physician. We show how this provides an estimate of how bargaining power is distributed between patients and physicians.
|Date of creation:||Nov 2011|
|Date of revision:|
|Publication status:||published in: Economic Record, 2012, 88 (281), 182 - 194|
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- Joshua S. Gans & Andrew Leigh, 2006.
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CEPR Discussion Papers
529, Centre for Economic Policy Research, Research School of Economics, Australian National University.
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Journal of Population Economics,
Springer;European Society for Population Economics, vol. 26(1), pages 87-108, January.
- Henry Ohlsson, Michael Neugart and, 2009. "Economic incentives and the timing of births: Evidence from the German parental benefit reform 2007," Working Paper Series, Center for Fiscal Studies 2009:10, Uppsala University, Department of Economics.
- Joshua S. Gans & Andrew Leigh & Elena Varganova, 2007.
"Minding the Shop: The Case of Obstetrics Conferences,"
CEPR Discussion Papers
551, Centre for Economic Policy Research, Research School of Economics, Australian National University.
- Gans, Joshua S. & Leigh, Andrew & Varganova, Elena, 2007. "Minding the shop: The case of obstetrics conferences," Social Science & Medicine, Elsevier, vol. 65(7), pages 1458-1465, October.
- Stacy Dickert-Conlin & Amitabh Chandra, 1999. "Taxes and the Timing of Birth," Journal of Political Economy, University of Chicago Press, vol. 107(1), pages 161-177, February.
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