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Dual Practice by Health Workers: Theory and Evidence from Indonesia

González, P, Montes Rojas, G and Pal, Sarmistha (2017) Dual Practice by Health Workers: Theory and Evidence from Indonesia [Working Paper]

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Using a simple theoretical model we conjecture that dual practice may increase the number of patients seen but reduce hours spent at public facilities, if public physicians lack motivation and/or if their opportunity costs are very large. Using data from Indonesia, we then test these theoretical conjectures. Our identification strategy relies on a 1997 legislation necessitating health professionals to apply for license for private practice only after three years of graduation. Results using a difference-in-difference regression discontinuity design provides support to our conjectures, identifying the role of weak work discipline, lack of motivation and opportunity costs of public service provision.

Item Type: Working Paper
Divisions : Faculty of Arts and Social Sciences > School of Economics
Authors :
González, P
Montes Rojas, G
Date : 2 October 2017
Uncontrolled Keywords : dual practice of health professionals, Ministry of Health Regulation, weak monitoring, motivation, opportunity costs of public service, Indonesia
Additional Information : Paper presented at ISI (Kolkata), NEUDC (Brown), HERG conference (Lancaster).
Depositing User : Melanie Hughes
Date Deposited : 17 Jan 2018 08:55
Last Modified : 17 Jul 2018 10:34

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