Appendix C: Relevant Prior Literature
Study | Occupation(s) | Measure(s) of Quality | Relationship of Licensing to Quality |
Anderson, D. M., Brown, R., Charles, K. K., & Rees, D. I. (2020). Occupational licensing and maternal health: Evidence from early midwifery laws. Journal of Political Economy, 128(11), 4337–4383. https://doi.org/10.1086/710555 | Midwife | Maternal mortality | Positive |
Barrios, J. M. (2022). Occupational licensing and accountant quality: Evidence from the 150-hour rule. Journal of Accounting Research, 60(1), 3–43. https://doi.org/10.1111/1475-679X.12408 | Accountant | Time to promotion and tenure at a firm | No effect |
Berger, M. C., & Toma, E. F. (1994). Variation in state education policies and effects on student performance. Journal of Policy Analysis and Management, 13(3), 477–491. https://doi.org/10.2307/3325387 | Teacher | SAT scores | Negative |
Boyd, D., Lankford, H., Loeb, S., Rockoff, J., & Wycoff, J. (2008). The narrowing gap in New York City teacher qualifications and its implications for student achievement in high-poverty schools (NBER Working Paper No. 14021). Cambridge, MA: National Bureau of Economic Research. https://www.nber.org/papers/w14021 | Teacher | Student test scores | Positive |
Carpenter, D. M. (2010). Blooming nonsense: Experiment reveals Louisiana’s florist licensing scheme as pointless and anti-competitive. Arlington, VA: Institute for Justice. https://ij.org/report/blooming-nonsense-2/ Carpenter, D. M. (2012). Testing the utility of a licensing policy: Evidence from a field experiment on occupational regulation. Journal of Applied Business and Economics, 13(2), 28–41. http://m.www.na-businesspress.com/JABE/CarpenterDM_Web13_2_.pdf | Florist | Judges’ scores | No effect |
Deyo, D. (2017). Law and labor markets: Three essays on individual decision making [Doctoral dissertation, George Mason University]. ProQuest Dissertations. https://www.proquest.com/openview/20d4e5374db69e0a3c9c7ea5aa750c6f/1?pq-origsite=gscholar&cbl=18750 | Barber, cosmetologist, manicurist, massage therapist | Yelp ratings | Negative |
Erickson, A. C. (2016). Putting licensing to the test: How licenses for tour guides fail consumers—and guides. Arlington, VA: Institute for Justice. https://ij.org/report/putting-licensing-test/ | Tour guide | Tripadvisor ratings | No effect |
Farronato, C., Fradkin, A., Larsen, B., & Brynjolfsson, E. (2020). Consumer protection in an online world: An analysis of occupational licensing (NBER Working Paper No. 26601). Cambridge, MA: National Bureau of Economic Research. https://doi.org/10.3386/w26601 | Home improvement (e.g., painter, interior designer) | Consumer satisfaction and hiring decisions | No effect |
Goldhaber, D. D., & Brewer, D. J. (2000). Does teacher certification matter? High school teacher certification status and student achievement. Educational Evaluation and Policy Analysis, 22(2), 129–145. https://doi.org/10.2307/1164392 | Teacher | Student test scores | Mixed |
Guntermann, K. L., & Smith, R. L. (1988). Licensing requirements, enforcement effort and complaints against real estate agents. The Journal of Real Estate Research, 3(2), 11–20. https://www.jstor.org/stable/44095230 | Real estate agent | Consumer complaints | No effect |
Holen, A. (1978). The economics of dental licensing. Alexandria, VA: Public Research Institute. https://apps.dtic.mil/sti/pdfs/ADA075961.pdf | Dentist | Malpractice insurance premium and dental health | Mixed |
Johnson, L. L., & Loucks, C. (1986). The effect of state licensing regulations on the real estate brokerage industry. Real Estate Economics, 14(4), 567–582. https://doi.org/10.1111/1540-6229.00404 | Real estate broker | Consumer complaints | Positive |
Kane, T. J., Rockoff, J. E., & Staiger, D. O. (2008). What does certification tell us about teacher effectiveness? Evidence from New York City. Economics of Education Review, 27(6), 615–631. https://doi.org/10.1016/j.econedurev.2007.05.005 | Teacher | Student test scores | No effect |
Kleiner, M. M., & Kudrle, R. T. (2000). Does regulation affect economic outcomes? The case of dentistry. The Journal of Law and Economics, 43(2), 547–582. https://doi.org/10.1086/467465 | Dentist | Dental health | No effect |
Kleiner, M. M., Marier, A., Park, K. W., & Wing, C. (2016). Relaxing occupational licensing requirements: Analyzing wages and prices for a medical service. The Journal of Law and Economics, 59(2), 261–291. https://doi.org/10.1086/688093 | Nurse practitioner | Mortality rates and malpractice lawsuits | No effect |
Kleiner, M. M., & Petree, D. L. (1988). Unionism and licensing of public school teachers: Impact on wages and educational output. In R. B. Freeman & C. Ichniowski (Eds.), When public sector workers unionize (pp. 305–321). University of Chicago Press. http://www.nber.org/chapters/c7914 | Teacher | SAT and ACT scores and graduation rates | Mixed |
Kleiner, M. M., & Todd, R. M. (2009). Mortgage broker regulations that matter: Analyzing earnings, employment, and outcomes for consumers. In D. H. Autor (Ed.), Studies of labor market intermediation (pp. 183–231). University of Chicago Press. https://doi.org/10.7208/chicago/9780226032900.003.0007 | Mortgage broker | Foreclosure rates | Negative |
Larsen, B. (2015). Occupational licensing and quality: Distributional and heterogeneous effects in the teaching profession. Stanford University and NBER. https://web.stanford.edu/~bjlarsen/Larsen%20(2015)%20Occupational%20licensing%20and%20quality.pdf | Teacher | Student test scores | Mixed |
Law, M. T., & Kim, S. (2005). Specialization and regulation: The rise of professionals and the emergence of occupational licensing regulation. The Journal of Economic History, 65(3), 723–756. https://www.jstor.org/stable/3875015 | Physician | Mortality rates and malpractice lawsuit | Mixed |
Maurizi, A. R. (1980). The impact of regulation on quality: The case of California contractors. In S. Rottenberg (Ed.), Occupational licensure and regulation (pp. 26–35). Washington, DC: American Enterprise Institute for Public Policy Research. | Contractor | Consumer complaints | Mixed |
Meehan, B. J., & Stephenson, E. F. (2020). Reducing a barrier to entry: The 120/150 CPA licensing rule. Journal of Labor Research, 41, 382–402. https://doi.org/10.1007/s12122-020-09313-4 | Accountant | License exam pass rates and scores | No effect |
Pancak, K. A., & Sirmans, C. F. (2006). The effect of agency reform on real estate service quality. Journal of Housing Research, 15(1), 41–54. https://www.jstor.org/stable/24861106 | Real estate agent | Disciplinary actions | Positive |
Paul, C. (1984). Physician licensure legislation and the quality of medical care. Atlantic Economic Journal, 12(4), 18–30. https://doi.org/10.1007/BF02304510 | Physician | Mortality rates | No effect |
Powell, B., & Vorotnikov, E. (2012). Real estate continuing education: Rent seeking or improvement in service quality? Eastern Economic Journal, 38(1), 57–73. https://www.jstor.org/stable/41408845 | Real estate agent | Consumer complaints and disciplinary actions | No effect |
Rupp, N. G., & Tan, K. M. (2022). An evaluation of legislation designed to improve airline pilots’ safety and performance. SSRN Paper. https://dx.doi.org/10.2139/ssrn.3617370 | Pilot | Flight delays | Mixed |
Sass, T. R. (2015). Licensure and worker quality: A comparison of alternative routes to teaching. The Journal of Law & Economics, 58(1), 1–35. https://doi.org/10.1086/682904 | Teacher | Student test scores | Mixed |
Shilling, J. D., & Sirmans, C. F. (1988). The effects of occupational licensing on complaints against real estate agents. The Journal of Real Estate Research, 3(2), 1–9. https://www.jstor.org/stable/44095229 | Real estate agent | Consumer complaints | Positive |
Shuls, J. V., & Trivitt, J. R. (2015). Teacher effectiveness: An analysis of licensure screens. Educational Policy, 29(4), 645–675. https://doi.org/10.1177/0895904813510777 | Teacher | Student test scores and licensing exam scores | Mixed |
Young, S. D. (1986). Accounting licensure, quality, and the “Cadillac effect.” Journal of Accounting and Public Policy, 5(1), 5–19. https://doi.org/10.1016/0278-4254(86)90003-7 | Accountant | Insurance premiums | No effect |