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The Dynamics of Income-related Health Inequality among US Children

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  • Pinka Chatterji
  • Kajal Lahiri
  • Jingya Song

Abstract

We estimate and decompose family income-related inequality in child health in the US and analyze its dynamics using the income-related health mobility index recently introduced byAllanson et al., 2010. Data come from the 1997, 2002, and 2007 waves of the Child Development Supplement (CDS) of the Panel Study of Income Dynamics (PSID). The findings show that family income-related child health inequality remains stable from early childhood into adolescence. The main factor underlying income-related child health inequality is family income itself, although other factors, such as maternal education, also play a role. Decomposition of income-related health mobility indicates that health changes over time are more favorable to children with lower initial family incomes vs. children with higher initial family incomes. However, offsetting this effect, our findings also suggest that as children grow up, changes in family income ranking over time are related to children’s subsequent health status.

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Bibliographic Info

Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 3572.

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Date of creation: 2011
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Handle: RePEc:ces:ceswps:_3572

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Keywords: inequality; child health; income-related health inequality; income-related health mobility; health inequality;

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References

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  1. Allanson, Paul, 2010. "Longitudinal analysis of income-related health inequality: welfare foundations and alternative measures," SIRE Discussion Papers, Scottish Institute for Research in Economics (SIRE) 2010-71, Scottish Institute for Research in Economics (SIRE).
  2. Currie, Alison & Shields, Michael A. & Price, Stephen Wheatley, 2007. "The child health/family income gradient: Evidence from England," Journal of Health Economics, Elsevier, Elsevier, vol. 26(2), pages 213-232, March.
  3. Anne Case & Darren Lubotsky & Christina Paxson, 2002. "Economic Status and Health in Childhood: The Origins of the Gradient," American Economic Review, American Economic Association, American Economic Association, vol. 92(5), pages 1308-1334, December.
  4. Janet Currie & Mark Stabile, 2003. "Socioeconomic Status and Child Health: Why Is the Relationship Stronger for Older Children?," American Economic Review, American Economic Association, American Economic Association, vol. 93(5), pages 1813-1823, December.
  5. Eddy van Doorslaer & Xander Koolman & Andrew M. Jones, 2004. "Explaining income-related inequalities in doctor utilisation in Europe," Health Economics, John Wiley & Sons, Ltd., John Wiley & Sons, Ltd., vol. 13(7), pages 629-647.
  6. Janet Currie & Mark Stabile, 2004. "Child Mental Health and Human Capital Accumulation: The Case of ADHD," NBER Working Papers 10435, National Bureau of Economic Research, Inc.
  7. Simon Condliffe & Charles R. Link, 2008. "The Relationship between Economic Status and Child Health: Evidence from the United States," American Economic Review, American Economic Association, American Economic Association, vol. 98(4), pages 1605-18, September.
  8. van Doorslaer, Eddy & Wagstaff, Adam & van der Burg, Hattem & Christiansen, Terkel & De Graeve, Diana & Duchesne, Inge & Gerdtham, Ulf-G & Gerfin, Michael & Geurts, Jose & Gross, Lorna, 2000. "Equity in the delivery of health care in Europe and the US," Journal of Health Economics, Elsevier, Elsevier, vol. 19(5), pages 553-583, September.
  9. Pinka Chatterji & Kajal Lahiri & Jingya Song, 2011. "The Dynamics of Income-related Health Inequality among US Children," CESifo Working Paper Series, CESifo Group Munich 3572, CESifo Group Munich.
  10. Wagstaff, Adam & Van Doorslaer, Eddy & Watanabe, Naoko, 2001. "On decomposing the causes of health sector inequalities with an application to malnutrition inequalities in Vietnam," Policy Research Working Paper Series, The World Bank 2714, The World Bank.
  11. Wagstaff, Adam & Paci, Pierella & van Doorslaer, Eddy, 1991. "On the measurement of inequalities in health," Social Science & Medicine, Elsevier, Elsevier, vol. 33(5), pages 545-557, January.
  12. Doorslaer, Eddy van & Jones, Andrew M., 2003. "Inequalities in self-reported health: validation of a new approach to measurement," Journal of Health Economics, Elsevier, Elsevier, vol. 22(1), pages 61-87, January.
  13. Paul Allanson & Ulf-G Gerdtham & Dennis Petrie, 2008. "Longitudinal analysis of income-related health inequality," Dundee Discussion Papers in Economics, Economic Studies, University of Dundee 214, Economic Studies, University of Dundee.
  14. Carol Propper & John Rigg & Simon Burgess, 2007. "Child health: evidence on the roles of family income and maternal mental health from a UK birth cohort," Health Economics, John Wiley & Sons, Ltd., John Wiley & Sons, Ltd., vol. 16(11), pages 1245-1269.
  15. Khanam, Rasheda & Nghiem, Hong Son & Connelly, Luke B., 2009. "Child health and the income gradient: Evidence from Australia," Journal of Health Economics, Elsevier, Elsevier, vol. 28(4), pages 805-817, July.
  16. Kakwani, Nanak & Wagstaff, Adam & van Doorslaer, Eddy, 1997. "Socioeconomic inequalities in health: Measurement, computation, and statistical inference," Journal of Econometrics, Elsevier, Elsevier, vol. 77(1), pages 87-103, March.
  17. Paul Allanson, 2010. "Longitudinal analysis of income-related health inequality: welfare foundations and alternative measures," Dundee Discussion Papers in Economics, Economic Studies, University of Dundee 240, Economic Studies, University of Dundee.
  18. Allanson, Paul & Petrie, Dennis & Gerdtham, Ulf-G, 2008. "Longitudinal analysis of income-related health inequality," SIRE Discussion Papers, Scottish Institute for Research in Economics (SIRE) 2008-38, Scottish Institute for Research in Economics (SIRE).
  19. Murasko, Jason E., 2008. "An evaluation of the age-profile in the relationship between household income and the health of children in the United States," Journal of Health Economics, Elsevier, Elsevier, vol. 27(6), pages 1489-1502, December.
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Cited by:
  1. Pinka Chatterji & Kajal Lahiri & Jingya Song, 2011. "The Dynamics of Income-related Health Inequality among US Children," CESifo Working Paper Series, CESifo Group Munich 3572, CESifo Group Munich.

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