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A Structural Analysis of Mental Health and Labor Market Trajectories

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  • Gregory Jolivet
  • Fabien Postel-Vinay

Abstract

We analyze the joint life-cycle dynamics of labor market and mental health outcomes. We allow for two-way interactions between work and mental health. We model selection into jobs on a labor market with search frictions, accounting for the level of exposure to stress in each job using data on occupational health contents. We estimate our model on British data from Understanding Society combined with information from O*NET. We estimate the impact of job characteristics on health dynamics and of the e ects of health and job stress contents on career choices. We use our model to quantify the e ects of job loss or health shocks that propagate over the life cycle through both health and work channels. We also estimate the (large) values workers attach to health, employment or non-stressful jobs. Lastly, we investigate the consequences on health, employment and inequality of trend changes in the distribution of job health contents.

Suggested Citation

  • Gregory Jolivet & Fabien Postel-Vinay, 2020. "A Structural Analysis of Mental Health and Labor Market Trajectories," Bristol Economics Discussion Papers 20/726, School of Economics, University of Bristol, UK.
    • Handle: RePEc:bri:uobdis:20/726
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    References listed on IDEAS

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    Cited by:

    1. Mark L Bryan & Nigel Rice & Jennifer Roberts & Cristina Sechel, 2022. "Mental Health and Employment: A Bounding Approach Using Panel Data," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 84(5), pages 1018-1051, October.
    2. Chaoran Chen & Zhigang Feng & Jiaying Gu, 2022. "Health, Health Insurance, and Inequality," Working Papers tecipa-730, University of Toronto, Department of Economics.

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    More about this item

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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