Adolescent predictors of unemployment and disability pension across the life course – a longitudinal study of selection in 49 321 Swedish men
AbstractObjective: This study investigated the associations of adolescent cognitive ability, mental status and adaptability to school and work with unemployment from youth to mid-life. It also investigated the associations of youth unemployment with later unemployment and disability pension. Method: We used a cohort of 49 321 Swedish men, with information on cognitive ability, mental status, and school and personality characteristics in late adolescence in 1969. The information was linked to 32 years of annual administrative data to study predictors of unemployment and disability pension. Results: We found a strong and consistent association between cognitive ability and risk of unemployment, which was independent of other individual characteristics. Other notable independent risk factors were psychiatric diagnosis, contact with police or childcare authorities, smoking, risk use of alcohol, not being liked in school, and having been dismissed from or having quit a job due to unfair treatment. Unemployment before age 18 was found to be associated with unemployment across the life course, and also with disability pension, most of which was explained by individual characteristics. Conclusion: Certain individuals are more likely to be unemployed, and to be unem-ployed for more than one period, due to individual characteristics, which include cognitive ability, mental health, and labour-market related behaviour across the life course. However, people who become unemployed in youth have, regardless of their individual characteristics, an increased risk of becoming unemployed again. People who experience youth unemployment are also more likely to receive disability pension.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by IFAU - Institute for Evaluation of Labour Market and Education Policy in its series Working Paper Series with number 2013:25.
Length: 42 pages
Date of creation: 29 Nov 2013
Date of revision:
Youth unemployment; scarring; mental Health; behaviour; disability pension;
Find related papers by JEL classification:
- I13 - Health, Education, and Welfare - - Health - - - Health Insurance, Public and Private
- I14 - Health, Education, and Welfare - - Health - - - Health and Inequality
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Heckman, James J, 1995. "Lessons from the Bell Curve," Journal of Political Economy, University of Chicago Press, vol. 103(5), pages 1091-1120, October.
- Erik Lindqvist & Roine Vestman, 2011.
"The Labor Market Returns to Cognitive and Noncognitive Ability: Evidence from the Swedish Enlistment,"
American Economic Journal: Applied Economics,
American Economic Association, vol. 3(1), pages 101-28, January.
- Lindqvist, Erik & Westman, Roine, 2009. "The Labor Market Returns to Cognitive and Noncognitive Ability: Evidence from the Swedish Enlistment," Working Paper Series 794, Research Institute of Industrial Economics.
- James J. Heckman & Jora Stixrud & Sergio Urzua, 2006.
"The Effects of Cognitive and Noncognitive Abilities on Labor Market Outcomes and Social Behavior,"
Journal of Labor Economics,
University of Chicago Press, vol. 24(3), pages 411-482, July.
- James J. Heckman & Jora Stixrud & Sergio Urzua, 2006. "The Effects of Cognitive and Noncognitive Abilities on Labor Market Outcomes and Social Behavior," NBER Working Papers 12006, National Bureau of Economic Research, Inc.
- Andrew Healey & Martin Knapp & David Farrington, 2004. "Adult labour market implications of antisocial behaviour in childhood and adolescence: findings from a UK longitudinal study," Applied Economics, Taylor & Francis Journals, vol. 36(2), pages 93-105.
- Cawley, John & Heckman, James & Vytlacil, Edward, 2001. "Three observations on wages and measured cognitive ability," Labour Economics, Elsevier, vol. 8(4), pages 419-442, September.
- Case, Anne & Fertig, Angela & Paxson, Christina, 2005.
"The lasting impact of childhood health and circumstance,"
Journal of Health Economics,
Elsevier, vol. 24(2), pages 365-389, March.
- Anne Case & Angela Fertig & Christina Paxson, 2004. "The Lasting Impact of Childhood Health and Circumstance," Working Papers 246, Princeton University, Woodrow Wilson School of Public and International Affairs, Center for Health and Wellbeing..
- William A. Darity & Arthur H. Goldsmith, 1996. "Social Psychology, Unemployment and Macroeconomics," Journal of Economic Perspectives, American Economic Association, vol. 10(1), pages 121-140, Winter.
- Stewart, Jennifer M., 2001.
"The impact of health status on the duration of unemployment spells and the implications for studies of the impact of unemployment on health status,"
Journal of Health Economics,
Elsevier, vol. 20(5), pages 781-796, September.
- Jennifer Stewart, 1999. "The Impact of Health Status on the Duration of Unemployment Spells and the Implications for Studies of the Impact of Unemployment on Health Status," Working Papers 33, National University of Ireland Galway, Department of Economics, revised 1999.
- Knights, Stephen & Harris, Mark N & Loundes, Joanne, 2002.
"Dynamic Relationships in the Australian Labour Market: Heterogeneity and State Dependence,"
The Economic Record,
The Economic Society of Australia, vol. 78(242), pages 284-98, September.
- Stephen Knights & Mark Harris & Joanne Loundes, 2000. "Dynamic Relationships in the Australian Labour Market: Heterogeneity and State Dependence," Melbourne Institute Working Paper Series wp2000n06, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
- Narendranathan, W. & Elias, P., 1990.
"Influences of Past History on the Incidence of Youth Unemployment: Empirical Finding for the U.K,"
The Warwick Economics Research Paper Series (TWERPS)
369, University of Warwick, Department of Economics.
- Narendranathan, Wiji & Elias, Peter, 1993. "Influences of Past History on the Incidence of Youth Unemployment: Empirical Findings for the UK," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 55(2), pages 161-85, May.
- Vivian H. Hamilton & Philip Merrigan & Éric Dufresne, 1997. "Down and out: estimating the relationship between mental health and unemployment," Health Economics, John Wiley & Sons, Ltd., vol. 6(4), pages 397-406.
- Fergusson, David M. & John Horwood, L. & Woodward, Lianne J., 2001. "Unemployment and psychosocial adjustment in young adults: causation or selection?," Social Science & Medicine, Elsevier, vol. 53(3), pages 305-320, August.
- Heckman, James J & Borjas, George J, 1980. "Does Unemployment Cause Future Unemployment? Definitions, Questions and Answers from a Continuous Time Model of Heterogeneity and State Dependence," Economica, London School of Economics and Political Science, vol. 47(187), pages 247-83, August.
- Thomas A. Mroz & Timothy H. Savage, 2006. "The Long-Term Effects of Youth Unemployment," Journal of Human Resources, University of Wisconsin Press, vol. 41(2).
- Gregg, Paul, 2001. "The Impact of Youth Unemployment on Adult Unemployment in the NCDS," Economic Journal, Royal Economic Society, vol. 111(475), pages F626-53, November.
- Lundberg, Olle, 1997. "Childhood conditions, sense of coherence, social class and adult ill health: Exploring their theoretical and empirical relations," Social Science & Medicine, Elsevier, vol. 44(6), pages 821-831, March.
- Spence, A Michael, 1973. "Job Market Signaling," The Quarterly Journal of Economics, MIT Press, vol. 87(3), pages 355-74, August.
- Arulampalam, Wiji & Booth, Alison L & Taylor, Mark P, 2000. "Unemployment Persistence," Oxford Economic Papers, Oxford University Press, vol. 52(1), pages 24-50, January.
- Jacob Mincer, 1958. "Investment in Human Capital and Personal Income Distribution," Journal of Political Economy, University of Chicago Press, vol. 66, pages 281.
- Ruhm, Christopher J, 1991. "Are Workers Permanently Scarred by Job Displacements?," American Economic Review, American Economic Association, vol. 81(1), pages 319-24, March.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Margareta Wicklander).
If references are entirely missing, you can add them using this form.