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Measuring and testing for gender discrimination in physician pay: English family doctors

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  • Hugh Gravelle
  • Arne Risa Hole
  • Rita Santos

Abstract

In 2008 the income of female GPs was 70%, and their wages (income per hour) were 89%, of those of male GPs. We estimate Oaxaca decompositions using OLS models of wages (income/hours) and 2SLS models of income. The elasticity of income with respect to hours is 0.91 for female GPs and 0.29 for male GPs, so that log wage models are misspecified. The conventional discrimination measure (the unexplained difference in mean log income) is sensitive to the counterfactual (30% using male returns vs 11% using female returns), to the use of OLS vs. 2SLS (19% vs 11%, female counterfactual), but not to dropping insignificant female interactions. The unexplained pro-male difference arises because the pro male difference in regression constants offsets the pro-female difference in the effect of hours on income. We propose a set of new direct tests for within workplace gender discrimination based on a comparison of the differences in income of female and male GPs in practices with varying proportions of female GPs and with female or male senior partners. The direct tests produce mixed results. An indirect test, comparing GPs actual income with the income they report as an acceptable reward for their job, shows that female GPs are not more likely than male GPs to report that their actual income is less than acceptable income, whereas GPs from ethnic minorities and overseas qualified GPs are significantly more likely to do so.

Suggested Citation

  • Hugh Gravelle & Arne Risa Hole & Rita Santos, 2011. "Measuring and testing for gender discrimination in physician pay: English family doctors," Discussion Papers 11/05, Department of Economics, University of York.
  • Handle: RePEc:yor:yorken:11/05
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    References listed on IDEAS

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    Cited by:

    1. Weeks, William B. & Paraponaris, Alain & Ventelou, Bruno, 2013. "Sex-based differences in income and response to proposed financial incentives among general practitioners in France," Health Policy, Elsevier, vol. 113(1), pages 199-205.
    2. Terence C. Cheng & Pravin K. Trivedi, 2015. "Attrition Bias in Panel Data: A Sheep in Wolf's Clothing? A Case Study Based on the Mabel Survey," Health Economics, John Wiley & Sons, Ltd., vol. 24(9), pages 1101-1117, September.
    3. Schurer, Stefanie & Kühnle, Daniel & Scott, Anthony & Cheng, Terence Chai, 2012. "One Man's Blessing, Another Woman's Curse? Family Factors and the Gender-Earnings Gap of Doctors," IZA Discussion Papers 7017, Institute for the Study of Labor (IZA).
    4. Chunzhou Mu & Shiko Maruyama, 2013. "Salient Gender Difference in the Wage Elasticity of General Practitioners' Labour Supply," Discussion Papers 2013-16, School of Economics, The University of New South Wales.
    5. Stefanie Schurer & Daniel Kuehnle & Anthony Scott & Terence C. Cheng, 2016. "A Man's Blessing or a Woman's Curse? The Family Earnings Gap of Doctors," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 55(3), pages 385-414, July.
    6. Magali Dumontet & Carine Franc, 2015. "Gender differences in French GPs’ activity: the contribution of quantile regressions," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 16(4), pages 421-435, May.
    7. Gravelle, Hugh & Hole, Arne Risa & Santos, Rita, 2011. "Measuring and testing for gender discrimination in physician pay: English family doctors," Journal of Health Economics, Elsevier, vol. 30(4), pages 660-674, July.
    8. Terence Chai Cheng & Anthony Scott & Sung-Hee Jeon & Guyonne Kalb & John Humphreys & Catherine Joyce, 2010. "What Factors Influence the Earnings of GPs and Medical Specialists in Australia? Evidence from the MABEL Survey," Melbourne Institute Working Paper Series wp2010n12, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.

    More about this item

    Keywords

    Gender discrimination. Family doctors. General practitioners. Income. Wages.;

    JEL classification:

    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J44 - Labor and Demographic Economics - - Particular Labor Markets - - - Professional Labor Markets and Occupations
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets

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