cost of living and cost of healthcare

CRNA2007 · Aug 7, 2008

The free market will bring fair wages.

Okay so I keep reading all these posting detailing how low the cost of living is in other areas (midwest/texas etc.) What i'm wonderng is this: is the cost of healthcare lower. For example is it the same to visit an emergency room in texas as it is in say san francisco? Say your average Er visit in cali runs you $3000 after any labs/x-rays physican fees and hospital fees. Is it cheaper somewhere else? this has often bothered me that hospitals tell us that the pay is less b/c the cost of living is less.
We should be getting paid according to our skill right? I mean isn't a NICU baby with congential heart defects the same in California as it is in Iowa? Is my skill worth less to a post-op CABG patient in Indianna than in New York state?
If the cost of healthcare is the just as expensive or even close, i think the big winners here are the Hospials.
Why do we continue to accept the explanation that the cost of living is lower/higher?
Demand fair wages now:sasq: (sorry, i'll step off my soap box now)

TheCommuter, BSN, RN · Aug 7, 2008

I actually did some research into this a phenomenon a few months ago. I was surprised to discover that physicians who work in rural, lower cost-of-living areas actually earn more money (on average) than their doctor counterparts who live and work in the larger metropolitan areas. The reasoning behind it is the fact that rural physicians are usually one of only a few doctors in their areas, so the local populations absolutely must utilize them for healthcare services if they don't want to drive to the nearest big city. Since the rural physicians have an oligopoly in a specific area with virtually no competition, this translates into higher salaries.

Rural nurses, on the other hand, are paid less. Since rural and lower cost-of-living areas tend to be overly saturated with nurses, this serves to drive wages downward. The small towns that have 2 or 3 schools of nursing are notorious for paying nurses poorly, because the hospital administrators know that Podunk State University and Funkytown Community College are churning out new nurses every few months.

Too many nurses in an area = depressed wages

A shortage of nurses in an area = competitive wages

x_coastie · Aug 8, 2008

I actually did some research into this a phenomenon a few months ago. I was surprised to discover that physicians who work in rural, lower cost-of-living areas actually earn more money (on average) than their doctor counterparts who live and work in the larger metropolitan areas. The reasoning behind it is the fact that rural physicians are usually one of only a few doctors in their areas, so the local populations absolutely must utilize them for healthcare services if they don't want to drive to the nearest big city. Since the rural physicians have an oligopoly in a specific area with virtually no competition, this translates into higher salaries.
Rural nurses, on the other hand, are paid less. Since rural and lower cost-of-living areas tend to be overly saturated with nurses, this serves to drive wages downward. The small towns that have 2 or 3 schools of nursing are notorious for paying nurses poorly, because the hospital administrators know that Podunk State University and Funkytown Community College are churning out new nurses every few months.
Too many nurses in an area = depressed wages
A shortage of nurses in an area = competitive wages

It is harder to recruit doctors/doctor's families to rural areas, so pay must be higher.

TheCommuter, BSN, RN · Aug 8, 2008

It is harder to recruit doctors/doctor's families to rural areas, so pay must be higher.

This is also true.

We should be getting paid according to our skill right?

While it would be nice if we were paid according to skill set, oversaturation of nurses in a specific area will always serve to drive wages downward. In addition, most nurses are employed by another entity, and these entities pay based on current job market conditions (not skill level). As long as we are employees who sell our hourly labor to business entities, the local market conditions and cost of living will dictate our pay. If we ever become free agents or are ever able to bill for each skill or service rendered, things will likely change.