Navigation Links
Can wage regulation be deadly?

A study forthcoming in the Journal of Political Economy suggests that government regulation of nurses' pay leads to higher death rates in U.K. hospitals.

The U.K.'s National Health Service (NHS), which is responsible for most of the nation's health care, sets wages for nurses and other health professionals on a national scale. These regulated wages are essentially flat throughout the country, despite the fact that wages for private sector jobs vary widely from region to region. The study finds that in places where private sector wages are higher, death rates for heart attack victims admitted to emergency departments are higher.

The finding suggests that in places where private sector pay is better, it is difficult for NHS hospitals "to attract and retain skilled workers and this will lead to lower quality service," write the study's authors, Carol Propper of the University of Bristol and John Van Reenen of the Centre for Economic Performance at the London School of Economics.

On average, a 10 percent increase in the private sector wages is associated with a 7 percent increase in heart attack death rates, the study found. Heart attack death rates are a common measure of hospital quality.

The research suggests that the most skilled nurses in high-wage areas flee the NHS hospitals to work in health sectors where wages are not regulated, such as nursing homes. Productivity levels in nursing homes are significantly better in areas where private sector wages are higher, the study found.

The researchers used data from 1997 to 2006 on the population of 209 short term general hospitals across England.

"Publicly run healthcare markets would be wise to relax the regulatory systems and allow local wages to reflect local conditions as they do in the private sector," the researchers conclude. "According to our analysis such deregulation would lead to higher quality public services and fewer deaths."

"As the U.S. government becomes more involved in healthcare, this is a lesson worth heeding," Van Reenen said.


Contact: Kevin Stacey
University of Chicago Press Journals

Related medicine news :

1. Duty of Care - New Driving Legislation Could Put You in Court! UKContractHireandLeasing spread the word on these new regulations
2. Survey Finds Broad Support for Alcohol Regulations to Keep the Public Safe
3. Minnesota Special Registration Review of Atrazine Found Current Regulations are Protective
4. FDA Advisers Urge Stricter Regulation of Tanning Beds
5. ATS issues statement on disorder of respiratory and autonomic nervous system regulation
6. Revisions to Health Care Reform Must Include Rate Freeze, Rate Regulation and States Rights Provisions, Says Consumer Watchdog
7. Rate Regulation for Health Insurance: Obama Administration Should Look to CAs Model Law Which Has Saved Drivers $62 Billion Since 1988
8. Research highlights role of protein pair in obesity regulation
9. Blue Cross Claim That 39% Premium Hikes Due Only to Escalating Cost of Health Care Trigger Calls for Regulation of Rates
10. Tanning Bed Regulation Heats Up
11. Steritech Retains Leavitt Partners to Advise the Company on Emerging Food Safety Concerns and Regulation
Post Your Comments:
(Date:12/1/2015)... FL (PRWEB) , ... December 01, 2015 , ... ... announces the Multi Jar, a container patent that allows for easier packing and organizing ... the US is worth $90 billion," says Scott Cooper, CEO and Creative Director of ...
(Date:12/1/2015)... ... ... Royal River Natural Foods — a locally-owned, independent natural health store in ... nutritional supplement creatine, along with resistance training for a year, had more new bone ... report is part of the December 2015 issue of Natural Insights for Well Being®, ...
(Date:12/1/2015)... ... December 01, 2015 , ... According to an article published ... discrimination claim against the U.S. Department of Health and Human Services, claiming that any ... plans are breaking the clause in the law prohibiting the denial of coverage for ...
(Date:12/1/2015)... ... December 01, 2015 , ... Califia Farms , one of ... iconic bottle has won top honors in Beverage World Magazine’s Global Packaging Design Awards, ... that it has been selected as a 2015 U.S.A. Taste Champion in the American ...
(Date:12/1/2015)... ... ... Growth in medical payments per workers’ compensation claim in Louisiana slowed from ... care, according to a recent study by the Workers Compensation Research Institute (WCRI). ... payments per claim with more than seven days of lost time continued to be ...
Breaking Medicine News(10 mins):
(Date:12/1/2015)... 2015 ... "Medium Molecular Weight Polyisobutylene Market for ... Applications - Global Industry Analysis, Size, Share, ... report to their offering. --> ... of the "Medium Molecular Weight Polyisobutylene ...
(Date:12/1/2015)... /PRNewswire/ -- Royal Philips  (NYSE: PHG, ... imaging software that produces high-contrast images for all anatomies ... grid, at the 2015 Radiological Society of North ... Philips, first digital imaging solution providing grid-like contrast improvement ... workflow and supports "first-time-right imaging" by decreasing the need ...
(Date:12/1/2015)... 2015  Athletic apparel company Tommie Copper ... pay $1.35 million to settle Federal Trade Commission ... compression clothing would relieve severe and chronic pain ... Tommie Copper,s proposed settlement ... its founder and chairman Thomas Kallish ...
Breaking Medicine Technology: