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Estimating the effect of smoking on birth outcomes using a matched panel data approach

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Author Info
Jason Abrevaya (Department of Economics, Purdue University, West Lafayette, IN 47907-2056, USA)

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Abstract

Estimating the casual effect of smoking on birth outcomes is difficult since omitted (unobserved) variables are likely to be correlated with a mother's decision to smoke. While some previous work has dealt with this endogeneity problem by using instrumental variables, this paper instead attempts to estimate the smoking effect from panel data (i.e., data on mothers with multiple births). Panel data sets are constructed with matching algorithms applied to federal natality data. The fixed effects regressions, which control for individual heterogeneity, yield significantly different results from ordinary least squares and previous instrumental variable approaches. The potential inconsistency caused by 'false matches' and other violations of the fixed effects strict exogeneity assumption are considered. Copyright © 2006 John Wiley & Sons, Ltd.

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File URL: http://hdl.handle.net/10.1002/jae.851
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File URL: http://qed.econ.queensu.ca:80/jae/2006-v21.4/
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Publisher Info
Article provided by John Wiley & Sons, Ltd. in its journal Journal of Applied Econometrics.

Volume (Year): 21 (2006)
Issue (Month): 4 ()
Pages: 489-519
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Handle: RePEc:jae:japmet:v:21:y:2006:i:4:p:489-519

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Joyce, Theodore, 1999. "Impact of augmented prenatal care on birth outcomes of Medicaid recipients in New York City," Journal of Health Economics, Elsevier, vol. 18(1), pages 31-67, January. [Downloadable!] (restricted)
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  2. Evans, William N. & Lien, Diana S., 2005. "The benefits of prenatal care: evidence from the PAT bus strike," Journal of Econometrics, Elsevier, vol. 125(1-2), pages 207-239. [Downloadable!] (restricted)
  3. Freeman, Richard B, 1984. "Longitudinal Analyses of the Effects of Trade Unions," Journal of Labor Economics, University of Chicago Press, vol. 2(1), pages 1-26, January. [Downloadable!] (restricted)
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  4. Reichman, Nancy E. & Florio, Maryanne J., 1996. "The effects of enriched prenatal care services on Medicaid birth outcomes in New Jersey," Journal of Health Economics, Elsevier, vol. 15(4), pages 455-476, August. [Downloadable!] (restricted)
  5. Janet Currie & Rosemary Hyson, 1999. "Is the Impact of Health Shocks Cushioned by Socioeconomic Status? The Case of Low Birthweight," American Economic Review, American Economic Association, vol. 89(2), pages 245-250, May. [Downloadable!] (restricted)
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  6. Colman, Greg & Grossman, Michael & Joyce, Ted, 2003. "The effect of cigarette excise taxes on smoking before, during and after pregnancy," Journal of Health Economics, Elsevier, vol. 22(6), pages 1053-1072, November. [Downloadable!] (restricted)
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  7. Levinson, Arik & Ullman, Frank, 1998. "Medicaid managed care and infant health," Journal of Health Economics, Elsevier, vol. 17(3), pages 351-368, June. [Downloadable!] (restricted)
  8. Corman, Hope & Chaikind, Stephen, 1998. "The effect of low birthweight on the school performance and behavior of school-aged children," Economics of Education Review, Elsevier, vol. 17(3), pages 307-316, June. [Downloadable!] (restricted)
  9. Peltzman, Sam, 1975. "The Effects of Automobile Safety Regulation," Journal of Political Economy, University of Chicago Press, vol. 83(4), pages 677-725, August. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Del Bono, Emilia & Ermisch, John & Francesconi, Marco, 2008. "Intrafamily Resource Allocations: A Dynamic Model of Birth Weight," IZA Discussion Papers 3704, Institute for the Study of Labor (IZA). [Downloadable!]
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  2. Manuel Arellano & Stéphane Bonhomme, 2009. "Identifying distributional characteristics in random coefficients panel data models," CeMMAP working papers CWP22/09, Centre for Microdata Methods and Practice, Institute for Fiscal Studies. [Downloadable!]
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  3. repec:ese:iserwp: is not listed on IDEAS
  4. Stefan Holst Bache & Christian M. Dahl & Johannes Tang, 2008. "Determinants of Birthweight Outcomes: Quantile Regressions Based on Panel Data," CREATES Research Papers 2008-20, School of Economics and Management, University of Aarhus. [Downloadable!]
  5. MaryBeth Walker & Erdal Tekin & Sally Wallace, 2007. "Teen Smoking and Birth Outcomes," NBER Working Papers 13386, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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