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House Prices, Home Equity and Health

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  • John Gathergood
  • Eleonora Fichera

Abstract

Home equity has a strong impact on individual health. In UK household panel data home equity lowers the likelihood of home owners exhibiting a broad range of medical conditions. This is due to increased use of private health care, reduced hours of work and increased exercise. Home equity, unlike income, does not increase risky health behaviours such as smoking and drinking. Home equity is highly pro-cyclical. The positive health effects of home equity gains on home owner health over the business cycle offset the negative effects of labour market conditions and work intensity as shown in US data by Ruhm (2000).

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Paper provided by University of Nottingham, School of Economics in its series Discussion Papers with number 12/07.

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Handle: RePEc:not:notecp:12/07

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Postal: School of Economics University of Nottingham University Park Nottingham NG7 2RD
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Web page: http://www.nottingham.ac.uk/economics/
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Keywords: health; wealth. JEL classification: I10; I13;

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Cited by:
  1. Christopher J. Ruhm, 2013. "Recessions, Healthy No More?," NBER Working Papers 19287, National Bureau of Economic Research, Inc.

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