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Causal effects of HIV on employment status in low-income settings

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  • Ochalek, Jessica
  • Revill, Paul
  • van den Berg, Bernard

Abstract

This paper estimates the causal impact of being HIV positive on individual employment status using a recursive bivariate probit with male circumcision as the instrument to overcome the endogeneity arising from simultaneity bias. The results show that being HIV positive reduces the probability of being employed by 5 percentage points among males in Uganda. The effect is greater for individuals employed in manual labor than non-manual labor. When limiting the sample to mainly individuals employed in subsistence agriculture, we find a 4 percentage point reduction in the likelihood of employment, suggesting that the effect occurs primarily through reductions in labor supply as opposed to demand. This is supported by additional analysis using univariate probit regressions to assess the association between different levels of HIV illness (as measured by CD4 cell count) and the likelihood of employment. The magnitude of the association increases as CD4 cell count decreases. Having a CD4 cell count of 200permm3 or below is associated with a 9 percentage point reduction in employment compared to individuals with CD4 cell counts above 200permm3.

Suggested Citation

  • Ochalek, Jessica & Revill, Paul & van den Berg, Bernard, 2017. "Causal effects of HIV on employment status in low-income settings," Economics & Human Biology, Elsevier, vol. 27(PA), pages 248-260.
    • Handle: RePEc:eee:ehbiol:v:27:y:2017:i:pa:p:248-260
    DOI: 10.1016/j.ehb.2017.09.001
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    Cited by:

    1. Yunjiang Yu & Zhi Chen & Shenglan Huang & Zhicheng Chen & Kailin Zhang, 2020. "What determines employment quality among people living with HIV: An empirical study in China," PLOS ONE, Public Library of Science, vol. 15(12), pages 1-12, December.
    2. Jockers, Dominik & Langlotz, Sarah & French, Declan & Bärnighausen, Till, 2021. "HIV treatment and worker absenteeism: Quasi-experimental evidence from a large-scale health program in South Africa," Journal of Health Economics, Elsevier, vol. 79(C).
    3. Beatriz Rodríguez-Sánchez & Luz María Peña-Longobardo & Juan Oliva-Moreno, 2022. "The employment situation of people living with HIV: a closer look at the effects of the 2008 economic crisis," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 23(3), pages 485-497, April.

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