This paper utilizes a large national data set to retest the result found by Reinhardt that office-based physicians underutilize aides. Employing the transcendental-exponential form of the production function, it finds that groups are more productive than solos and that physicians typically do...

This paper constructs an equilibrium model of the supply behavior of an industry comprised of utility maximizing owner-operators, and derives its implications for empirical work. Except for the case of long-run constant costs, the perverse results for the firm (a backwar d-bending labor supply...