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The Effect of Illicit Drug Use on the Labor Supply of Young Adults

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  • Robert Kaestner

Abstract

This paper analyzes the effects of illicit drug use on the labor supply of a sample of young adults using data from the National Longitudinal Survey of Youth. The paper investigates whether the frequency and timing of marijuana and cocaine use are systematically related to labor supply. and presents both cross sectional and longitudinal estimates. The cross sectional results are consistent with those of previous researchers. and suggest that illicit drug use has large, negative effects on labor supply. The longitudinal results. however, suggest that illicit drug use does not have a significant adverse impact on labor supply.

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Bibliographic Info

Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 4187.

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Date of creation: Oct 1992
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Publication status: published as The Journal of Human Resources, vol. 29, No. 1, Winter 1994, pp. 126-155.
Handle: RePEc:nbr:nberwo:4187

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  1. Murphy, Kevin M & Topel, Robert H, 2002. "Estimation and Inference in Two-Step Econometric Models," Journal of Business & Economic Statistics, American Statistical Association, American Statistical Association, vol. 20(1), pages 88-97, January.
  2. Thomas Mroz, . "The Sensitivity of an Empirical Model of Married Women's Hours of Work to Economic and Statistical Assumptions," University of Chicago - Population Research Center, Chicago - Population Research Center 84-8, Chicago - Population Research Center.
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Cited by:
  1. Ziggy MacDonald & Stephen Pudney, . "The Wages of Sin? Illegal Drug Use and the Labour Market," Discussion Papers in Public Sector Economics, Department of Economics, University of Leicester 99/6, Department of Economics, University of Leicester.
  2. Ziggy MacDonald & Michael Shields, . "The Impact of Alcohol Use on Occupational Attainment and Wages," Discussion Papers in Public Sector Economics, Department of Economics, University of Leicester 98/8, Department of Economics, University of Leicester.
  3. Robert Kaestner, 1998. "Does Drug Use Cause Poverty?," NBER Working Papers 6406, National Bureau of Economic Research, Inc.
    • Robert Kaestner, 1999. "Does Drug Use Cause Poverty?," NBER Chapters, in: The Economic Analysis of Substance Use and Abuse: An Integration of Econometrics and Behavioral Economic Research, pages 327-368 National Bureau of Economic Research, Inc.
  4. Robert Kaestner, 1995. "The Effects of Cocaine and Marijuana Use on Marriage and Marital Stability," NBER Working Papers 5038, National Bureau of Economic Research, Inc.
  5. Ziggy MacDonald & Stephen Pudney, 2001. "Illicit drug use and labour market achievement: evidence from the UK," Applied Economics, Taylor & Francis Journals, Taylor & Francis Journals, vol. 33(13), pages 1655-1668.
  6. Michael R. Pergamit, 2001. "The National Longitudinal Surveys," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 15(2), pages 239-253, Spring.
  7. Elena Bastida & José A. Pagán, 2002. "The impact of diabetes on adult employment and earnings of Mexican Americans: Findings from a community based study," Health Economics, John Wiley & Sons, Ltd., vol. 11(5), pages 403-413.
  8. Jenny Williams & Christopher Skeels, 2006. "The Impact of Cannabis Use on Health," De Economist, Springer, Springer, vol. 154(4), pages 517-546, December.
  9. Robert Kaestner, 1996. "Drug Use and AFDC Participation: Is There a Connection?," NBER Working Papers 5555, National Bureau of Economic Research, Inc.
  10. Z. MacDonald & S. Pudney, 2000. "Analysing drug abuse with British Crime Survey data: modelling and questionnaire design issues," Journal of the Royal Statistical Society Series C, Royal Statistical Society, Royal Statistical Society, vol. 49(1), pages 95-117.
  11. Heineck, Guido & Schwarze, Johannes, 2003. "Substance Use and Earnings: The Case of Smokers in Germany," IZA Discussion Papers 743, Institute for the Study of Labor (IZA).
  12. Ours, J.C. van, 2005. "Cannabis, Cocaine and Jobs," Discussion Paper, Tilburg University, Center for Economic Research 2005-15, Tilburg University, Center for Economic Research.
  13. Carlos Casacuberta & Mariana Gerstenblüth & Patricia Triunfo, 2012. "Aportes del análisis económico al estudio de las drogas," Documentos de Trabajo (working papers), Department of Economics - dECON 0112, Department of Economics - dECON.
  14. R. R. Bryant & A. Jayawardhana & V. A. Samaranayake & A. Wilhite, . "The impact of alcohol and drug use on employment: A labor market study using the National Longitudinal Survey of Youth," Institute for Research on Poverty Discussion Papers, University of Wisconsin Institute for Research on Poverty 1092-96, University of Wisconsin Institute for Research on Poverty.
  15. Molinari, Francesca, 2005. "Missing Treatments," Working Papers, Cornell University, Center for Analytic Economics 05-11, Cornell University, Center for Analytic Economics.
  16. Suryadipta Roy, 2007. "Are Illegal Drugs Inferior Goods in the US?," Atlantic Economic Journal, International Atlantic Economic Society, International Atlantic Economic Society, vol. 35(3), pages 303-314, September.
  17. Mijares, John C., 1997. "Early drug use and quits and discharges among adolescent males," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, Elsevier, vol. 26(4), pages 439-458.

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