• Media type: Report; E-Book
  • Title: Dual Practice by Health Workers: Theory and Evidence from Indonesia
  • Contributor: Gonzalez, Paula [Author]; Montes-Rojas, Gabriel V. [Author]; Pal, Sarmistha [Author]
  • Published: Bonn: Institute of Labor Economics (IZA), 2017
  • Language: English
  • Keywords: opportunity costs of public service ; I10 ; weak monitoring ; O1 ; Ministry of Health Regulation ; dual practice of health professionals ; I18 ; Indonesia ; J44 ; J2 ; motivation ; J45
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  • Description: 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.
  • Access State: Open Access