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The association of alcohol dependency with employment probability: evidence from the population survey ‘Health 2000 in Finland’

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  • Edvard Johansson
  • Hannu Alho
  • Urpo Kiiskinen
  • Kari Poikolainen

Abstract

In this paper, we investigate to what extent alcohol‐dependent individuals fare worse in the Finnish labour market, using data from a large Finnish health survey. We used the DSM‐IV criteria for alcohol dependence assessed by a composite international diagnostic interview (CIDI). We find that there are substantial disadvantages for alcohol‐dependent men and women in the labour market, in the sense that they have lower employment probabilities. Treating alcohol dependence as an exogenous variable, we find that alcohol dependence is associated with decrease in the probability of full‐time or part‐time work of around 14 percentage points for men and 11 percentage points for women. However, accounting for endogeneity increases the negative effect to some 50 percentage points for men and to some 40 percentage points for women. Copyright © 2006 John Wiley & Sons, Ltd.

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  • Edvard Johansson & Hannu Alho & Urpo Kiiskinen & Kari Poikolainen, 2007. "The association of alcohol dependency with employment probability: evidence from the population survey ‘Health 2000 in Finland’," Health Economics, John Wiley & Sons, Ltd., vol. 16(7), pages 739-754, July.
    • Handle: RePEc:wly:hlthec:v:16:y:2007:i:7:p:739-754
    DOI: 10.1002/hec.1201
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    2. Anna Baranowska-Rataj & Anna Matysiak, 2016. "The Causal Effects of the Number of Children on Female Employment - Do European Institutional and Gender Conditions Matter?," Journal of Labor Research, Springer, vol. 37(3), pages 343-367, September.
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    4. Mario Mueller & Ingo Kipke & Franz Frey & Wulf Rossler & Gianpiero Lupi & Stefan Vetter, 2009. "Antecedents and Covariates of Alcohol Consumption among Swiss Male Conscripts," IJERPH, MDPI, vol. 6(3), pages 1-13, March.
    5. Boden, Joseph M. & Lee, Jungeun Olivia & Horwood, L. John & Grest, Carolina Villamil & McLeod, Geraldine F.H., 2017. "Modelling possible causality in the associations between unemployment, cannabis use, and alcohol misuse," Social Science & Medicine, Elsevier, vol. 175(C), pages 127-134.
    6. John Cawley & Johanna Catherine Maclean, 2012. "Unfit For Service: The Implications Of Rising Obesity For Us Military Recruitment," Health Economics, John Wiley & Sons, Ltd., vol. 21(11), pages 1348-1366, November.
    7. Johansson, Edvard & Böckerman, Petri & Kiiskinen, Urpo & Heliövaara, Markku, 2009. "Obesity and labour market success in Finland: The difference between having a high BMI and being fat," Economics & Human Biology, Elsevier, vol. 7(1), pages 36-45, March.
    8. Maryam Dilmaghani, 2022. "The link between smoking, drinking and wages: Health, workplace social capital or discrimination?," Industrial Relations Journal, Wiley Blackwell, vol. 53(2), pages 160-183, March.
    9. Michael T. French & Ioana Popovici, 2011. "That instrument is lousy! In search of agreement when using instrumental variables estimation in substance use research," Health Economics, John Wiley & Sons, Ltd., vol. 20(2), pages 127-146, February.
    10. Ioana Popovici & Michael T. French, 2013. "Does Unemployment Lead to Greater Alcohol Consumption?," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 52(2), pages 444-466, April.
    11. Justus Haucap & Annika Herr, 2014. "A note on social drinking: In Vino Veritas," European Journal of Law and Economics, Springer, vol. 37(3), pages 381-392, June.
    12. Anna Baranowska, 2013. "The family size effects on female employment. Evidence from the “natural experiments” related to human reproduction," Working Papers 57, Institute of Statistics and Demography, Warsaw School of Economics.
    13. Petri Böckerman & Ari Hyytinen & Terhi Maczulskij, 2017. "Alcohol Consumption and Long‐Term Labor Market Outcomes," Health Economics, John Wiley & Sons, Ltd., vol. 26(3), pages 275-291, March.

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