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Sick of Your Poor Neighborhood?

Author

Listed:
  • Linea Hasager

    (CEBI, Department of Economics, University of Copenhagen)

  • Mia Jørgensen

    (Danmarks Nationalbank)

Abstract

Does living in a low-income neighborhood have negative health consequences? We document causal neighborhood effects on health by exploiting a Spatial Dispersal Policy that quasi-randomly resettled refugees across neighborhoods from 1986-1998. The risk of developing a lifestyle related disease before 2018 increased by 5.1 percent for those allocated to the poorest third of neighborhoods compared with those in the richest third of neighborhoods. Our results suggest that interaction with neighbors and the characteristics of the immediate environment are important determinants for health outcomes. Differences in health care access, ethnic networks, and individual labor market outcomes cannot explain our findings.

Suggested Citation

  • Linea Hasager & Mia Jørgensen, 2021. "Sick of Your Poor Neighborhood?," CEBI working paper series 21-02, University of Copenhagen. Department of Economics. The Center for Economic Behavior and Inequality (CEBI).
    • Handle: RePEc:kud:kucebi:2102
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    File URL: https://www.econ.ku.dk/cebi/publikationer/working-papers/CEBI_WP_02-21.pdf
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    More about this item

    Keywords

    health inequality; refugee dispersal policy; lifestyle related diseases; neighborhood effects;
    All these keywords.

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being

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