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Cut-Point Shift and Index Shift in Self-Reported Health

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Author Info
Lindeboom, Maarten () (Free University of Amsterdam, Tinbergen Institute and IZA Bonn)
van Doorslaer, Eddy (Erasmus University Rotterdam)

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Abstract

There is a concern that ordered responses on health questions may differ across populations or even across subgroups of a population. This reporting heterogeneity may invalidate group comparisons and measures of health inequality. This paper proposes a test for differential reporting in ordered response models which allows us to distinguish between cut-point shift and index shift. The method is illustrated using Canadian National Population Health Survey data. The McMaster Health Utility Index (HUI) is used as a more objective health measure than the simple 5-point scale of self-assessed health. We find clear evidence of index shifting and cut-point shifting for age and gender, but not for income, education or language.

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Publisher Info
Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 1286.

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Length: 25 pages
Date of creation: Sep 2004
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Handle: RePEc:iza:izadps:dp1286

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Related research
Keywords: hierarchical ordered probit health measurement cut-point shift index shift Canada

Other versions of this item:

Find related papers by JEL classification:
D30 - Microeconomics - - Distribution - - - General
D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
I10 - Health, Education, and Welfare - - Health - - - General
I12 - Health, Education, and Welfare - - Health - - - Health Production

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  1. Denise Doiron & Glenn Jones & Elizabeth Savage, 2006. "Healthy, wealthy and insured? The role of self-assessed health in the demand for private health insurance, CHERE Working Paper 2006/2," Working Papers 2006/2, CHERE, University of Technology, Sydney. [Downloadable!]
  2. David W. Johnston & Carol Propper & Michael A. Shields, 2007. "Comparing Subjective and Objective Measures of Health: Evidence from Hypertension for the Income/Health Gradient," IZA Discussion Papers 2737, Institute for the Study of Labor (IZA). [Downloadable!]
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  3. Nigel Rice & Jennifer Roberts & Andrew M. Jones, 2007. "Sick of work or too sick to work? Evidence on health shocks and early retirement from the BHPS," Working Papers 2007002, The University of Sheffield, Department of Economics, revised Jan 2007. [Downloadable!]
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  4. Liam Delaney & Pat Wall & Fearghal O'hAodha, 2007. "Social Capital & Self-Rated Health in the Republic of Ireland. Evidence from the European Social Survey," Working Papers 200707, Geary Institute, University College Dublin. [Downloadable!]
  5. Fabrice Etilé & Carine Milcent, 2006. "Income-related reporting heterogeneity in self-assessed health: evidence from France," PSE Working Papers 2006-09, PSE (Ecole normale supérieure). [Downloadable!]
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  6. Arthur Van Soest & Liam Delaney & Colm Harmon & Arie Kapteyn & James P. Smith, 2007. "Validating the Use of Vignettes for Subjective Threshold Scales," Working Papers 200714, Geary Institute, University College Dublin. [Downloadable!]
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  7. David Cantarero & Marta Pascual, 2005. "Socio-Economic Status And Health: Evidence From The Echp," Economics Bulletin, Economics Bulletin, vol. 9(9), pages 1-17. [Downloadable!]
  8. Tom Van Ourti & Eddy Van Doorslaer & Xander Koolman, 2006. "The Effect of Growth and Inequality in Incomes on Health Inequality: Theory and Empirical Evidence from the European Panel," Tinbergen Institute Discussion Papers 06-108/3, Tinbergen Institute. [Downloadable!]
  9. Hendrik Jürges, 2007. "True health vs response styles: exploring cross-country differences in self-reported health," Health Economics, John Wiley & Sons, Ltd., vol. 16(2), pages 163-178. [Downloadable!]
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  10. Wim Groot & Henriëtte Maassen van den Brink, 2006. "The compensating income variation of cardiovascular disease," Health Economics, John Wiley & Sons, Ltd., vol. 15(10), pages 1143-1148. [Downloadable!]
  11. Teresa Bago d'Uva & Eddy van Doorslaer & Maarten Lindeboom & Owen O'Donnell & Somnath Chatterji, 2006. "Does Reporting Heterogeneity bias The Measurement of Health Disparities?," Tinbergen Institute Discussion Papers 06-033/3, Tinbergen Institute. [Downloadable!]
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  12. Paul Contoyannis & Andrew M. Jones & Nigel Rice, 2004. "The dynamics of health in the British Household Panel Survey," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 19(4), pages 473-503. [Downloadable!]
  13. Hans van Kippersluis & Tom van Ourti & Owen O'Donnell & Eddy van Doorslaer, 2008. "Health and Income across the Life Cycle and Generations in Europe," Tinbergen Institute Discussion Papers 08-009/3, Tinbergen Institute. [Downloadable!]
  14. David Zimmer, 2007. "Child Health and Maternal Work Activity: The Role of Unobserved Heterogeneity," Eastern Economic Journal, Eastern Economic Association, vol. 33(1), pages 43-64, Winter. [Downloadable!]
  15. Cristina Hernandez-Quevedo & Andrew M Jones & Nigel Rice, . "Reporting Bias and Heterogeneity in Self-Assessed Health. Evidence from the British Household Panel Survey," Discussion Papers 04/18, Department of Economics, University of York. [Downloadable!]
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  16. Hendrik Jürges, 2004. "Self-assessed health, reference levels, and mortality," MEA discussion paper series 04057, Mannheim Research Institute for the Economics of Aging (MEA), University of Mannheim. [Downloadable!]
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  17. Mark Agee & Thomas Crocker, 2007. "Children’s health benefits of reducing environmental tobacco smoke exposure: evidence from parents who smoke," Empirical Economics, Springer, vol. 32(1), pages 217-237, April. [Downloadable!] (restricted)
  18. Hannu Piekkola & Matthias Deschryvere, 2004. "Retirement Decisions and Option Values: Their Application Regarding Finland," Discussion Papers 951, The Research Institute of the Finnish Economy. [Downloadable!]
  19. David Cantarero & Marta Pascual, 2005. "Regional Differences In Health In Spain - An Empirical Analysis," ERSA conference papers ersa05p551, European Regional Science Association. [Downloadable!]
  20. Matthias Deschryvere, 2004. "Health and Retirement. An Update of the Literature," Discussion Papers 932, The Research Institute of the Finnish Economy. [Downloadable!]
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