Labor economists increasingly worry about the salient role that labor demand concentration might have on wages. Employing a unique dataset that covers all Colombian health-related occupations and assuming that services supply is proportional to labor demand, I calculate wages elasticity to health services supply concentration. By means of OLS and IV regressions that exploit variations in the health services provision and insurance market configuration, I show that going from three health services provider to one reduces wages by about 1.28%.
