Monitoring and norms in sickness insurance: empirical evidence from a natural experiment
AbstractWe test if social work norms are important for work absence due to self-perceived sickness. To this end, we use a randomized social experiment designed to estimate the effect of monitoring on work absence. The treated were exposed to less monitoring of their eligibility to use sickness insurance, which increased their non-monitored work absence. Based on a difference in differences analysis, we find that the not directly treated also increased their absence as a result of the experiment. By using an instrumental variables estimator, we find significant endogenous social interaction effects. A 10 per cent exogenous shock in work absence would lead to an immediate 5.7 per cent decrease in the hazard out of sickness absence: the long-run effect is calculated as a 13.3 per cent decrease in the corresponding hazard.
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Bibliographic InfoPaper provided by IFAU - Institute for Evaluation of Labour Market and Education Policy in its series Working Paper Series with number 2008:8.
Length: 29 pages
Date of creation: 16 May 2008
Date of revision:
Publication status: Published as Hesselius, Patrik, Per Johansson and Johan Vikström, 'Social Behaviour in Work Absence' in The Scandinavian Journal of Economics, 2013, pages 995-1019.
Work norms; social insurance; social interactions; sickness absence;
Find related papers by JEL classification:
- C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Longitudinal Data; Spatial Time Series
- C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
- J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
- Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Social and Economic Stratification
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-06-07 (All new papers)
- NEP-HEA-2008-06-07 (Health Economics)
- NEP-IAS-2008-06-07 (Insurance Economics)
- NEP-LAB-2008-06-07 (Labour Economics)
- NEP-SOC-2008-06-07 (Social Norms & Social Capital)
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