Pharmacists' earnings determinants: differences by ethnic group

Abstract

Objectives The purpose of this paper was to explore the behaviour of wage-and-salary earnings of non-Hispanic white, black and Hispanic pharmacists. Methods A cross-sectional study was conducted based on the responses to a survey questionnaire. The survey was administered to licensed pharmacists in South Florida between September 2006 and March 2007. The main outcome measures of the study were the response of pharmacists' wage-and-salary earnings to the number of hours worked, human-capital stock and job-related preferences. Key findings The earnings responses of non-Hispanic white and Hispanic pharmacists largely conformed to patterns reported in the literature, but the earnings of black pharmacists did not. Significant ethnic differences in the effect of the explanatory variables were detected. Conclusions The earnings-determination model developed here was suitable for nonHispanic white and Hispanic pharmacists, but not for black pharmacists. Pharmacists' earnings-determination processes must address ethnicity-related issues.

Ethnicity as a mediator of pharmacists' labour supply

“…When earnings functions were estimated separately for each ethnic group, however, disparities were found. Non‐Hispanic white male pharmacists earned 2.8% less than non‐Hispanic white female pharmacists, Hispanic men earned 9.4% higher wages and salaries than Hispanic women, and there was no significant difference between genders within black practitioners …”

“…Or their cultural identification may lead them to develop job‐related preferences or aversions that induce them to work more or fewer hours by affecting their opportunity cost. Recent findings by Carvajal et al . seem to support this view.…”

“…Or their cultural identification may lead them to develop job-related preferences or aversions that induce them to work more or fewer hours by affecting their opportunity cost. Recent findings by Carvajal et al [7] seem to support this view. A traditional nonminority-centric earnings determination model explaining variations in wages and salaries was not at all suitable for black pharmacists; furthermore, although the model conformed statistically to patterns exhibited by Hispanic pharmacists, the responses of practitioners in this latter ethnic group were quite different from the responses exhibited by non-Hispanic white practitioners.…”

“…degree are estimated to earn, on average, 3-6% higher incomes than their colleagues with a baccalaureate degree. [28,29] In South Florida Carvajal et al [7] have estimated the premium to be about 4% for non-Hispanic whites and over 5% for Hispanics, but not statistically significant for blacks, which suggests the existence of a cultural influence in ethnic returns to pharmacy education. The results here indicated that nearly twice as many minority as nonminority pharmacists possessed a Pharm.D.…”

“…Non-Hispanic white male pharmacists earned 2.8% less than non-Hispanic white female pharmacists, Hispanic men earned 9.4% higher wages and salaries than Hispanic women, and there was no significant difference between genders within black practitioners. [7] The presence of children in the household was the fourth human capital variable postulated to influence the number of hours worked. Several studies have found that children do affect the labour supply function, [34][35][36][37] and the intensity of this effect may be influenced by the mores and customs characteristic of each ethnic group.…”