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Psychiatric Disorders and Employment: New Evidence from the Collaborative Psychiatric Epidemiology Surveys (CPES)

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Author Info
Pinka Chatterji
Margarita Alegria
David Takeuchi

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Abstract

This paper uses data from the NIMH Collaborative Psychiatric Epidemiology Surveys to estimate the effects of psychiatric disorder on employment. We model the employment and disorder outcomes jointly with a bivariate probit model using local availability of treatment resources and early onset of disorder as identifying variables. As a complement to our main findings, we apply methods proposed in Altonji, Elder and Taber (2005) that allow one to gauge the sensitivity of the estimated effect of disorder to various degrees of selection on unobserved variables, without relying on identifying exclusions. Among males, psychiatric disorder in the past 12 months is associated with a reduction of 9 to 11 percentage points in the likelihood of current labor force participation and a reduction of about 10 percentage points in the likelihood of employment. Among females, we also find negative, but less consistent, associations between recent disorder and labor force participation and employment.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 14404.

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Date of creation: Oct 2008
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Handle: RePEc:nbr:nberwo:14404

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I0 - Health, Education, and Welfare - - General

References listed on IDEAS
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  15. Pinka Chatterji & Margarita Alegría & Mingshan Lu & David Takeuchi, 2007. "Psychiatric disorders and labor market outcomes: evidence from the National Latino and Asian American Study," Health Economics, John Wiley & Sons, Ltd., vol. 16(10), pages 1069-1090. [Downloadable!]
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  1. Pinka Chatterji & Margarita Alegria & David Takeuchi, 2009. "Racial/Ethnic Differences in the Effects of Psychiatric Disorders on Employment," Atlantic Economic Journal, International Atlantic Economic Society, vol. 37(3), pages 243-257, September. [Downloadable!] (restricted)
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