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Ex ante inequality of opportunity in health, decomposition and distributional analysis of biomarkers

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  • Davillas, Apostolos
  • Jones, Andrew M

Abstract

We use a set of biomarkers to measure inequality of opportunity (IOp) in the risk of major chronic conditions in the UK. Applying a direct ex ante IOp approach, we find that inequalities in biomarkers attributed to circumstances account for a non-trivial part of the total variation. For example, observed circumstances account for 20 % of the total inequalities in our composite measure of multi-system health risk, allostatic load. We propose an extension to the decomposition of ex ante IOp to complement the mean-based approach, analysing the contribution of circumstances across the quantiles of the biomarker distributions. Shapley decompositions show that, for most of the biomarkers, the percentage contribution of socioeconomic circumstances (education and childhood socioeconomic status), relative to differences attributable to age and gender, increase towards the right tail of the biomarker distribution, where health risks are more pronounced.

Suggested Citation

  • Davillas, Apostolos & Jones, Andrew M, 2020. "Ex ante inequality of opportunity in health, decomposition and distributional analysis of biomarkers," Journal of Health Economics, Elsevier, vol. 69(C).
  • Handle: RePEc:eee:jhecon:v:69:y:2020:i:c:s0167629618309937
    DOI: 10.1016/j.jhealeco.2019.102251
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    More about this item

    Keywords

    Biomarkers; Equality of opportunity; Non-communicable diseases; Shapley decomposition; Unconditional quantile regression;
    All these keywords.

    JEL classification:

    • C1 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality

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