Low-income self-employed GPs: a preference for leisure?
In France, each year between 1993 and 2004, 5 to 7% of general practitioners (GPs) earn less than 1.5 times the level of the French minimum wage. This article examines who are those low-income GPs using a representative panel of French self-employed GPs over the years 1993 to 2004. We .nd that experiencing low incomes, even during a short period of time, has a lasting impact on GPs. incomes over their whole career. Low-income GPs are mainly female or physicians practicing in areas where medical density is high but where the quality of life is also better. To test if low incomes result from a preference for leisure (ie if low-income GPs choose to work less than all other GPs or if they are constrained to), the econometric analysis consists of measuring GPs.reaction to a shock of demand. We show that low-income GPs never react to an increase in demand, while it would give them the opportunity to increase their activity and their incomes. They only react to negative shocks of demand, i.e. they decrease their activity when they are constrained to. Conversely, all other GPs always react to positive and negative shocks of demand : their activity is strongly constrained by the demand they are facing. We conclude that low-income GPs are physicians who choose to work less : to respond to the increasing demand by increasing their activity would reduce their utility. Their low incomes do not re.ect a downgrading of the GPs.profession, but rather one of its advantages: as self-employed, GPs can freely choose their number of hours of work. They may choose to work less.
|Date of creation:||Jul 2010|
|Contact details of provider:|| Postal: HEDG/HERC, Department of Economics and Related Studies, University of York, York, YO10 5DD, United Kingdom|
Phone: (0)1904 323776
Web page: https://www.york.ac.uk/economics/postgrad/herc/hedg/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Rizzo, John A. & Zeckhauser, Richard J., 2007. "Pushing incomes to reference points: Why do male doctors earn more?," Journal of Economic Behavior & Organization, Elsevier, vol. 63(3), pages 514-536, July.
- Rivers, Douglas & Vuong, Quang H., 1988. "Limited information estimators and exogeneity tests for simultaneous probit models," Journal of Econometrics, Elsevier, vol. 39(3), pages 347-366, November.
When requesting a correction, please mention this item's handle: RePEc:yor:hectdg:10/12. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jane Rawlings)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.