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Graduating into a downturn: Are physicians recession proof?

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  • Alice Chen
  • Anthony Lo Sasso
  • Michael R. Richards
Abstract
An extensive literature documents immediate and persistent adverse labor market outcomes for individuals graduating into an economic downturn, but these effects are heterogeneous across sectors, occupations, and skill levels. In particular, the impact of recessions on the labor market outcomes for new physician graduates remains unknown. We leverage a unique dataset on New York physicians to analyze if and how the Great Recession impacted the labor market of physicians who have completed their residency and fellowship training and are seeking their first job. We find that these physicians do not delay labor market entry and their job searches and other employment outcomes are unaffected by the business cycle. The collage of evidence demonstrates that new graduates were largely unfazed by the recent downturn, which sharply contrasts with other highly educated, high remunerating occupations.

Suggested Citation

  • Alice Chen & Anthony Lo Sasso & Michael R. Richards, 2018. "Graduating into a downturn: Are physicians recession proof?," Health Economics, John Wiley & Sons, Ltd., vol. 27(1), pages 223-235, January.
    • Handle: RePEc:wly:hlthec:v:27:y:2018:i:1:p:223-235
    DOI: 10.1002/hec.3538
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    References listed on IDEAS

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    Cited by:

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    2. Danyao Li & Michael R. Richards & Coady Wing, 2019. "Economic downturns and nurse attachment to federal employment," Health Economics, John Wiley & Sons, Ltd., vol. 28(6), pages 808-814, June.
    3. 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.
    4. Rahi Abouk & John S. Earle & Johanna Catherine Maclean & Sungbin Park, 2024. "Promoting Public Health with Blunt Instruments: Evidence from Vaccine Mandates," NBER Working Papers 32286, National Bureau of Economic Research, Inc.
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    6. Huynh, Elisabeth & Swait, Joffre & Lancsar, Emily, 2022. "Modelling online job search and choices of dentists in the Australian job market: Staged sequential DCEs and FIML econometric methods," Journal of choice modelling, Elsevier, vol. 44(C).
    7. Marcus Dillender & Andrew I. Friedson & Cong T. Gian & Kosali I. Simon, 2021. "Is Healthcare Employment Resilient and “Recession Proof”?," NBER Working Papers 29287, National Bureau of Economic Research, Inc.

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