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Labor adjustment in the Japanese health care industry: some empirical evidence

Authors

  • Kazuyuki Inagaki

    Corresponding author
    1. Department of Economics, Management and Information Science, Onomichi University, Onomichi, Hiroshima, Japan
    • Department of Economics, Management and Information Science, Onomichi University, 1600 Hisayamada, Onomichi, Hiroshima 722-8506, Japan
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SUMMARY

This paper examines the labor adjustment costs in the health care industry. Using Japanese data, we find that the cost of hiring new health care workers is the largest component of labor adjustment costs in the health care industry. Hence, it is difficult for employers in this industry to immediately increase the number of workers since this employment adjustment is extremely expensive. Copyright © 2010 John Wiley & Sons, Ltd.

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