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Socioeconomic Status and Sickness Absence - What do twins tell us about causality?

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  • Nilsson, William

    ()
    (Department of Economics, Umeå University)

Abstract

The purpose of this study is to empirically investigate causal effects between socioeconomic status and absence from the workplace due to sickness. To be able to conclude that income causally affects health it is important to control for both reverse causality and unobserved heterogeneity. This study uses a Swedish sample of female twins and a semiparametric censored fixed-effects model. Spousal income is correlated in cross-section with the share of total income that comes from benefits due to sickness absence. Results from this twin study indicate that male spousal income, i.e. a non-shared environmental influence, does not have a causal effect.

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Bibliographic Info

Paper provided by Umeå University, Department of Economics in its series Umeå Economic Studies with number 670.

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Length: 33 pages
Date of creation: 19 Jan 2006
Date of revision:
Handle: RePEc:hhs:umnees:0670

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Postal: Department of Economics, Umeå University, S-901 87 Umeå, Sweden
Phone: 090 - 786 61 42
Fax: 090 - 77 23 02
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Web page: http://www.econ.umu.se/
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Keywords: Income; education; health; causality; twins;

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  1. Michaud, Pierre-Carl & van Soest, Arthur, 2008. "Health and wealth of elderly couples: Causality tests using dynamic panel data models," Journal of Health Economics, Elsevier, Elsevier, vol. 27(5), pages 1312-1325, September.
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  3. Fuchs, Victor R., 2004. "Reflections on the socio-economic correlates of health," Journal of Health Economics, Elsevier, Elsevier, vol. 23(4), pages 653-661, July.
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  7. Honore, Bo E, 1992. "Trimmed LAD and Least Squares Estimation of Truncated and Censored Regression Models with Fixed Effects," Econometrica, Econometric Society, Econometric Society, vol. 60(3), pages 533-65, May.
  8. Buckley, Neil J. & Denton, Frank T. & Leslie Robb, A. & Spencer, Byron G., 2004. "The transition from good to poor health: an econometric study of the older population," Journal of Health Economics, Elsevier, Elsevier, vol. 23(5), pages 1013-1034, September.
  9. Case, Anne & Fertig, Angela & Paxson, Christina, 2005. "The lasting impact of childhood health and circumstance," Journal of Health Economics, Elsevier, Elsevier, vol. 24(2), pages 365-389, March.
  10. James P. Smith, 1999. "Healthy Bodies and Thick Wallets: The Dual Relation between Health and Economic Status," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 13(2), pages 145-166, Spring.
  11. Frijters, Paul & Haisken-DeNew, John P. & Shields, Michael A., 2005. "The causal effect of income on health: Evidence from German reunification," Journal of Health Economics, Elsevier, Elsevier, vol. 24(5), pages 997-1017, September.
  12. Contoyannis, Paul & Jones, Andrew M., 2004. "Socio-economic status, health and lifestyle," Journal of Health Economics, Elsevier, Elsevier, vol. 23(5), pages 965-995, September.
  13. Peter Adams & Michael D. Hurd & Daniel L. McFadden & Angela Merrill & Tiago Ribeiro, 2004. "Healthy, Wealthy, and Wise? Tests for Direct Causal Paths between Health and Socioeconomic Status," NBER Chapters, in: Perspectives on the Economics of Aging, pages 415-526 National Bureau of Economic Research, Inc.
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