High Pay for Covid-19 Nurses Leads to Shortages at Some Hospitals

High crisis pay [for temporary travel nurses] is exacerbating a chronic shortage of permanent medical staff across the country, which predates the pandemic and extends to all parts of the healthcare system. Hospital leaders expect their labor crunch to persist long after the pandemic has calmed. (WSJ, Aug. 2021)

1. What happens to the demand for travel nurses when COVID increases hospitalizations in some area?
2. Have wages for travel nurses changed as predicted given your answer to Q1?
3. What happens to the supply of permanent workers given your answer to Q2?
4. Would the change you describe in Q3 exacerbate the labor crunch for permanent nurses?
5. What do you predict will happen to wages for permanent nurses given your answers in Q3 and Q4?
6. "Harris Health said in mid-August that it would raise pay for all emergency-department and adult-ICU nurses to $140 an hour until staffing levels stabilize." Is this increase consistent with your prediction in Q5?