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The Rise and Fall of Customary Wage Differentials among Nursing Personnel in US Hospitals: 1956-1985

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  • Krall, Lisa

Abstract

Between 1956 and 1985, the employment of registered nurses (RNs) relative to other nursing personnel rose despite constant relative wages among RNs, licensed practical nurses, and nurses' aides. Over this thirty-year period, hospital management proclaimed chronic shortages of RNs. Economists have used monopsonistic models to explain the persistence of these shortages. As an alternative to the monopsonistic model, this paper presents an institutional argument for why hospital management sought to maintain relative wages among classes of nursing personnel while at the same time successfully raising the relative use of RNs through a variety of nonwage inducements and manipulations of RN supply. (c) 1995 Academic Press, Inc. Copyright 1995 by Oxford University Press.

Suggested Citation

  • Krall, Lisa, 1995. "The Rise and Fall of Customary Wage Differentials among Nursing Personnel in US Hospitals: 1956-1985," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 19(3), pages 405-419, June.
    • Handle: RePEc:oup:cambje:v:19:y:1995:i:3:p:405-19
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    Cited by:

    1. Edward J. Schumacher, 2001. "The Earnings and Employment of Nurses in an Era of Cost Containment," ILR Review, Cornell University, ILR School, vol. 55(1), pages 116-132, October.
    2. Patricia Cortes & Jessica Pan, 2014. "Foreign nurse importation to the United States and the supply of native registered nurses," Working Papers 14-7, Federal Reserve Bank of Boston.
    3. Cortés, Patricia & Pan, Jessica, 2014. "Foreign nurse importation and the supply of native nurses," Journal of Health Economics, Elsevier, vol. 37(C), pages 164-180.

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