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The Long‐Term Effects of Cancer on Employment and Earnings

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  • Sung‐Hee Jeon

Abstract

The study examines long‐term effects of cancer on the work status and annual earnings of cancer survivors who had a strong attachment to the labor market prior to their cancer diagnosis. We use linkage data combining Canadian 1991 Census microdata with administrative records from the Canadian Cancer Registry, the Vital Statistics Registry and longitudinal personal income tax records. We estimate changes in the magnitude of cancer effects during the first 3 years following the year of the diagnosis using a large sample of cancer survivors diagnosed at ages 25 to 61. The comparison group consists of similar workers never diagnosed with cancer. The empirical strategy combines coarsened exact matching and regression models to deal with observed and unobserved differences between the cancer and comparison groups. The results show moderate negative cancer effects on work status and annual earnings. Over the 3‐year period following the year of the diagnosis, the probability of working is 5 percentage points lower for cancer survivors than for the comparison group, and their earnings are 10% lower. Our findings also suggest that the effects of cancer on labor market outcomes differ for high and low survival rate cancer categories. Copyright © 2016 John Wiley & Sons, Ltd.

Suggested Citation

  • Sung‐Hee Jeon, 2017. "The Long‐Term Effects of Cancer on Employment and Earnings," Health Economics, John Wiley & Sons, Ltd., vol. 26(5), pages 671-684, May.
  • Handle: RePEc:wly:hlthec:v:26:y:2017:i:5:p:671-684
    DOI: 10.1002/hec.3342
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    Cited by:

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    3. Candon, David, 2018. "The effect of cancer on the labor supply of employed men over the age of 65," Economics & Human Biology, Elsevier, vol. 31(C), pages 184-199.
    4. Jeon, Sung-Hee & Pohl, R. Vincent, 2019. "Medical innovation, education, and labor market outcomes of cancer patients," Journal of Health Economics, Elsevier, vol. 68(C).
    5. Sylvia Dixon, 2015. "The Employment and Income Effects of Eight Chronic and Acute Health Conditions," Treasury Working Paper Series 15/15, New Zealand Treasury.
    6. Parro, Francisco & Pohl, R. Vincent, 2018. "Health Shocks, Human Capital, and Labor Market Outcomes," MPRA Paper 87238, University Library of Munich, Germany.
    7. White-Means, Shelley I. & Osmani, Ahmad Reshad, 2019. "Job Market Prospects of Breast vs. Prostate Cancer Survivors in the US: A Double Hurdle Model of Ethnic Disparities," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 40, pages 282-304.
    8. Thomas Barnay & Emmanuel Duguet & Christine Le Clainche, 2019. "The Effects of Breast Cancer on Individual Labour Market Outcomes: An Evaluation from an Administrative Panel in France," Annals of Economics and Statistics, GENES, issue 136, pages 103-126.
    9. Kelchtermans, Stijn & Leten, Bart & Rabijns, Maarten & Riccaboni, Massimo, 2022. "Do licensors learn from out-licensing? Empirical evidence from the pharmaceutical industry," Technovation, Elsevier, vol. 112(C).
    10. Joan C. Lo, 2019. "Employment pathways of cancer survivors—analysis from administrative data," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 20(5), pages 637-645, July.
    11. Henri Salokangas, 2021. "Exploring the labor market consequences of psychiatric disorders: An event study approach," Discussion Papers 148, Aboa Centre for Economics.
    12. Caroline Alleaume & Marc-Karim Bendiane & Patrick Peretti-Watel & Anne-Déborah Bouhnik, 2019. "Inequality in income change among cancer survivors five years after diagnosis: Evidence from a French national survey," PLOS ONE, Public Library of Science, vol. 14(10), pages 1-18, October.
    13. Nicolas Iragorri & Claire Oliveira & Natalie Fitzgerald & Beverley Essue, 2021. "The Indirect Cost Burden of Cancer Care in Canada: A Systematic Literature Review," Applied Health Economics and Health Policy, Springer, vol. 19(3), pages 325-341, May.
    14. Lennon, Conor, 2021. "Are the costs of employer-sponsored health insurance passed on to workers at the individual level?," Economics & Human Biology, Elsevier, vol. 41(C).

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