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Psychiatric disorders and labor market outcomes: Evidence from the National Comorbidity Survey-Replication

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  • Chatterji, Pinka
  • Alegria, Margarita
  • Takeuchi, David

Abstract

This paper uses the National Comorbidity Survey-Replication to estimate effects of recent psychiatric disorder on employment, hours worked, and earnings. We employ methods proposed in Altonji et al. (2005a) which use selection on observable traits to provide information regarding selection along unobservable factors. Among males, disorder is associated with reductions in labor force participation and employment. When selection on observed characteristics is set equal to selection on unobserved characteristics, the magnitudes of these effects for males are 9 and 14 percentage point reductions for participation and employment, respectively. Among females, we find negative associations between disorder and labor force participation and employment, but these estimates are more sensitive to assumptions about selection. There are no effects of disorder on earnings or hours worked among employed individuals.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Health Economics.

Volume (Year): 30 (2011)
Issue (Month): 5 ()
Pages: 858-868

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Handle: RePEc:eee:jhecon:v:30:y:2011:i:5:p:858-868

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Web page: http://www.elsevier.com/locate/inca/505560

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Keywords: Mental illness; Psychiatric disorders; Employment; Labor market outcomes;

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References

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Citations

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Cited by:
  1. Pinka Chatterji & Margarita Alegria & David Takeuchi, 2009. "Racial/Ethnic Differences in the Effects of Psychiatric Disorders on Employment," Atlantic Economic Journal, International Atlantic Economic Society, vol. 37(3), pages 243-257, September.
  2. Lizhong Peng & Chad D. Meyerhoefer & Samuel H. Zuvekas, 2013. "The Effect of Depression on Labor Market Outcomes," NBER Working Papers 19451, National Bureau of Economic Research, Inc.
  3. Jason M. Fletcher, 2012. "Adolescent Depression and Adult Labor Market Outcomes," NBER Working Papers 18216, National Bureau of Economic Research, Inc.
  4. Greve, Jane & Nielsen, Louise Herrup, 2013. "Useful beautiful minds—An analysis of the relationship between schizophrenia and employment," Journal of Health Economics, Elsevier, vol. 32(6), pages 1066-1076.
  5. Kelly Noonan & Hope Corman & Nancy E. Reichman, 2014. "Effects of Maternal Depression on Family Food Insecurity," NBER Working Papers 20113, National Bureau of Economic Research, Inc.
  6. Johnston, David W. & Schurer, Stefanie & Shields, Michael A., 2011. "Evidence on the Long Shadow of Poor Mental Health across Three Generations," IZA Discussion Papers 6014, Institute for the Study of Labor (IZA).
  7. D. Mark Anderson & Resul Cesur & Erdal Tekin, 2012. "Youth Depression and Future Criminal Behavior," NBER Working Papers 18656, National Bureau of Economic Research, Inc.
  8. Johnston, David W. & Schurer, Stefanie & Shields, Michael A., 2013. "Exploring the intergenerational persistence of mental health: Evidence from three generations," Journal of Health Economics, Elsevier, vol. 32(6), pages 1077-1089.

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