TY - JOUR AU - DeSimone,Jeff AU - Schumacher,Edward J. TI - Compensating Wage Differentials and AIDS Risk JF - National Bureau of Economic Research Working Paper Series VL - No. 10861 PY - 2004 Y2 - November 2004 UR - http://www.nber.org/papers/w10861 L1 - http://www.nber.org/papers/w10861.pdf N1 - Author contact info: Jeffrey S. DeSimone Department of Economics University of Texas at Arlington 701 S. West St. Arlington, TX 76019 Tel: 817/272-3286 Fax: 817/272-3145 E-Mail: jdesimone@uta.edu Edward J. Schumacher Departments of Health Care Adminstration & Economi Trinity University 715 Stadium Drive San Antonio, TX 78212-7200 Tel: 210/999-8137 Fax: 210/999-8108 E-Mail: eschumac@trinity.edu AB - We examine the effect of HIV/AIDS infection risks on the earnings of registered nurses (RNs) and other health care workers by combining data on metropolitan statistical area (MSA) AIDS prevalence rates with annual 1987 --2001 Current Population Survey (CPS) and quadrennial 1988 --2000 National Sample Survey of Registered Nurses (SRN) data. Holding constant wages of control groups that are likely not exposed to AIDS risks and group-specific MSA fixed effects, a 10 percent increase in the AIDS rate raises RN earnings by about 0.8 percent in post-1992 samples, when AIDS rates were falling but a more comprehensive categorization of AIDS was used by the CDC. AIDS wage differentials are much larger for RNs and non-nursing health practitioners than for other nursing and health care workers, suggesting that this differential represents compensation paid for job-related exposure to potentially HIV-infected blood. ER -