IDEAS home Printed from https://ideas.repec.org/p/cir/cirwor/2003s-07.html
   My bibliography  Save this paper

Determinants of Physicians' Decisions to Specialize

Author

Listed:
  • Robert Gagné
  • Pierre-Thomas Léger

Abstract

In this paper, we study specialty physician decisions using several unique data sets which include information on almost all Canadian physicians who practiced in Canada between 1989 and 1998. Unlike previous studies, we use a truly exogenous measure of potential income across general and specialty medicine to estimate the effect of income on physicians' specialty choices. Furthermore, our estimation procedure allows us to purge the income-effect estimates of non-pecuniary specialty attributes which may be correlated with higher paying specialties. Understanding the effect of potential income (and other variables) on choices is necessary if the desired mix across generalists and specialists as well as across specialties is to be achieved. Our results show that physicians respond to differences in income when making their specialty decisions. More specifically, our simulation exercise suggests that provinces could increase the proportion of graduates who select a surgical specialty by increasing the fees they pay to them. Dans cette étude, nous analysons les décisions de spécialisation des médecins à l'aide de données portant sur la presque totalité des médecins canadiens en exercice au Canada entre 1989 et 1998. Contrairement à la plupart des études existantes, nous utilisons une mesure du revenu potentiel des médecins, selon qu'ils soient généralistes ou spécialistes, qui est véritablement exogène afin d'estimer l'effet du revenu sur les choix de spécialisation. De plus, notre procédure d'estimation nous permet de tenir compte des effets non pécuniers liés à certaines spécialités médicales (prestige, recherche scientifique, etc.) qui pourraient être corrélés avec les salaires. Nos résultats montrent que les médecins réagissent de manière significative au revenu potentiel au moment de choisir une spécialité médicale. En particulier, nos simulations révèlent que les provinces seraient en mesure d'accroître la proportion de diplômés en médecine choisissant une spécialité chirurgicale si elles augmentaient les tarifs pour les actes chirurgicaux. Malgré une croissance importante des budgets consacrés au système de santé, on entend toujours parler de listes d'attentes et de pénuries de médecins, qu'ils soient en pratique généraliste ou spécialiste. Par conséquent, mieux comprendre les déterminants des choix de spécialité des médecins est nécessaire si nous voulons, par l'entremise de politiques publiques, influencer ces choix. Certes les choix de spécialité pour les médecins sont des comportements qui peuvent être expliqués par plusieurs facteurs tels qu'institutionnels, individuels et également par la différence de revenu potentiel entre les spécialités. Cette question a fait l'objet de plusieurs études. On peut citer, à titre d'exemple, les travaux de Sloan (1970), Hadley (1975, 1977, 1979), Hay (1980, 1981), Hurley (1991) et Nicholson (2003). En revanche, les résultats de ces travaux sont probablement biaisés en raison de l'utilisation de revenu moyen pour la spécialité comme revenu potentiel pour le médecin lors de son choix de spécialité. Autrement dit, ces travaux considèrent que les médecins sont identiques en termes d'effort, de productivité et du nombre d'heures travaillées. Dans la présente étude, nous cherchons à expliquer le choix de spécialité pour les médecins. Pour ce faire, nous avons considéré des données relatives à la majorité des médecins, et cela pour la période 1989-1998. Comme la rémunération dans le système canadien se fait à l'acte et puisque cette dernière ne varie pas entre les médecins de la même spécialité-province-année, elle représente la mesure idéale du revenu potentiel de la spécialité. Il est à noter que pour certaines spécialités, des avantages en nature peuvent être attribués. De ce fait, le recours au revenu potentiel comme seul déterminant de la spécialisation peut générer des résultats biaisés. Pour palier à ce problème, nous avons développé un modèle à deux-étapes qui nous permet d'inclure et de contrôler des caractéristiques observables et non observables spécifiques au marché des médecins. La principale conclusion que nous tirons de cette analyse est que les médecins tiennent compte de la différence de revenu potentiel lorsqu'ils décident de se spécialiser. Les provinces pourraient donc, par exemple, augmenter le paiement des chirurgiens pour promouvoir cette spécialité.

Suggested Citation

  • Robert Gagné & Pierre-Thomas Léger, 2003. "Determinants of Physicians' Decisions to Specialize," CIRANO Working Papers 2003s-07, CIRANO.
  • Handle: RePEc:cir:cirwor:2003s-07
    as

    Download full text from publisher

    File URL: https://cirano.qc.ca/files/publications/2003s-07.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Sean Nicholson, 2002. "Physician Specialty Choice under Uncertainty," Journal of Labor Economics, University of Chicago Press, vol. 20(4), pages 816-847, October.
    2. Jeremiah E. Hurley, 1991. "Physicians' Choices of Specialty, Location, and Mode: A Reexamination within an Interdependent Decision Framework," Journal of Human Resources, University of Wisconsin Press, vol. 26(1), pages 47-71.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jeffrey E. Harris & Beatriz G. López-Valcárcel & Patricia Barber & Vicente Ortún, 2014. "Efficiency versus Equity in the Allocation of Medical Specialty Training Positions in Spain: A Health Policy Simulation Based on a Discrete Choice Model," NBER Working Papers 19896, National Bureau of Economic Research, Inc.
    2. Josep Amer-Mestre and Agnès Charpin, 2022. "Gender Differences in Early Occupational Choices: Evidence from Medical Specialty Selection," Economics Working Papers EUI ECO 2022/01, European University Institute.
    3. Sivey, Peter & Scott, Anthony & Witt, Julia & Joyce, Catherine & Humphreys, John, 2012. "Junior doctors’ preferences for specialty choice," Journal of Health Economics, Elsevier, vol. 31(6), pages 813-823.
    4. Jeffrey E. Harris & Beatriz G. Lopez‐Valcarcel & Patricia Barber & Vicente Ortún, 2017. "Allocation of Residency Training Positions in Spain: Contextual Effects on Specialty Preferences," Health Economics, John Wiley & Sons, Ltd., vol. 26(3), pages 371-386, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Terence Chai Cheng & Anthony Scott & Sung‐Hee Jeon & Guyonne Kalb & John Humphreys & Catherine Joyce, 2012. "What Factors Influence The Earnings Of General Practitioners And Medical Specialists? Evidence From The Medicine In Australia: Balancing Employment And Life Survey," Health Economics, John Wiley & Sons, Ltd., vol. 21(11), pages 1300-1317, November.
    2. Sivey, Peter & Scott, Anthony & Witt, Julia & Joyce, Catherine & Humphreys, John, 2012. "Junior doctors’ preferences for specialty choice," Journal of Health Economics, Elsevier, vol. 31(6), pages 813-823.
    3. Lin, Lee-Kai, 2022. "Effects of a global budget payment scheme on medical specialty workforces," Social Science & Medicine, Elsevier, vol. 309(C).
    4. Jeffrey E. Harris & Beatriz G. Lopez‐Valcarcel & Patricia Barber & Vicente Ortún, 2017. "Allocation of Residency Training Positions in Spain: Contextual Effects on Specialty Preferences," Health Economics, John Wiley & Sons, Ltd., vol. 26(3), pages 371-386, March.
    5. Ellyson, Alice M. & Robertson, Justin C., 2019. "Can malpractice pressure compel a physician to relocate?," International Review of Law and Economics, Elsevier, vol. 57(C), pages 37-48.
    6. Sean Nicholson, 2005. "How Much Do Medical Students Know About Physician Income?," Journal of Human Resources, University of Wisconsin Press, vol. 40(1).
    7. Matthieu Cassou & Julien Mousquès & Carine Franc, 2020. "General practitioners’ income and activity: the impact of multi-professional group practice in France," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 21(9), pages 1295-1315, December.
    8. Sean Nicholson & Nicholas S. Souleles, 2001. "Physician Income Expectations and Specialty Choice," NBER Working Papers 8536, National Bureau of Economic Research, Inc.
    9. Schweri, Juerg & Hartog, Joop & Wolter, Stefan C., 2011. "Do students expect compensation for wage risk?," Economics of Education Review, Elsevier, vol. 30(2), pages 215-227, April.
    10. Josep Amer-Mestre and Agnès Charpin, 2022. "Gender Differences in Early Occupational Choices: Evidence from Medical Specialty Selection," Economics Working Papers EUI ECO 2022/01, European University Institute.
    11. Peter Arcidiacono & Sean Nicholson, 2000. "Peer Effects, Learning, and Physician Specialty Choice," Econometric Society World Congress 2000 Contributed Papers 1553, Econometric Society.
    12. Heski Bar‐Isaac & Johannes Hörner, 2014. "Specialized Careers," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 23(3), pages 601-627, September.
    13. Pascal Courty & Gerald R. Marschke, 2008. "On the Sorting of Physicians across Medical Occupations," NBER Working Papers 14502, National Bureau of Economic Research, Inc.
    14. Alice Chen & Anthony T. Lo Sasso & Michael R. Richards, 2018. "Supply‐side effects from public insurance expansions: Evidence from physician labor markets," Health Economics, John Wiley & Sons, Ltd., vol. 27(4), pages 690-708, April.
    15. George M. Holmes, "undated". "The Long Term Effect of the National Health Service Corps," Working Papers 0104, East Carolina University, Department of Economics.
    16. Arcidiacono, Peter & Nicholson, Sean, 2005. "Peer effects in medical school," Journal of Public Economics, Elsevier, vol. 89(2-3), pages 327-350, February.
    17. Steven Stern & Elizabeth Merwin & Emily Hauenstein & Ivora Hinton & Virgina Rovnyak & Melvin Wilson & Ishan Williams & Irma Mahone, 2008. "The E¤ect of Rurality on Mental and Physical Health," Virginia Economics Online Papers 381, University of Virginia, Department of Economics.
    18. Attema, Arthur E. & Galizzi, Matteo M. & Groß, Mona & Hennig-Schmidt, Heike & Karay, Yassin & L’Haridon, Olivier & Wiesen, Daniel, 2023. "The formation of physician altruism," Journal of Health Economics, Elsevier, vol. 87(C).
    19. Pedro Ramos & Hélio Alves & Paulo Guimarães & Maria A. Ferreira, 2017. "Junior doctors’ medical specialty and practice location choice: simulating policies to overcome regional inequalities," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 18(8), pages 1013-1030, November.
    20. Beomsoo Kim, 2007. "The Impact of Malpractice Risk on the Use of Obstetrics Procedures," The Journal of Legal Studies, University of Chicago Press, vol. 36(S2), pages 79-119, June.

    More about this item

    Keywords

    Physician Specialty Choice; Choix de spécialisation des médecins;

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cir:cirwor:2003s-07. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Webmaster (email available below). General contact details of provider: https://edirc.repec.org/data/ciranca.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.