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Health and income: A robust comparison of Canada and the US

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Author Info
Jean-Yves Duclos () (CIRPÉE and Département d’économique, Université Laval)
Damien Echevin () (GREDI, Département d'économique, Université de Sherbrooke)

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Abstract

This paper uses sequential stochastic dominance procedures to compare the joint distribution of health and income across space and time. It is the first application of which we are aware of methods to compare multidimensional distributions of income and health using procedures that are robust to aggregation techniques. The paper’s approach is more general than comparisons of health gradients and does not require the estimation of health equivalent incomes. We illustrate the approach by contrasting Canada and the US using comparable data. Canada dominates the US over the lower bi-dimensional well-being distribution of health and income, though not generally in terms of the marginal distribution of health. The paper also finds that well-being for both Canadians and Americans has not generally improved during the last decade over the joint distribution of income and health, in spite of the fact that the marginal distributions of income have improved during that period.

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File URL: http://pages.usherbrooke.ca/gredi/wpapers/GREDI-0808.pdf
File Format: application/pdf
File Function: First version, 2008
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Publisher Info
Paper provided by Departement d'Economique de la Faculte d'administration à l'Universite de Sherbrooke in its series Cahiers de recherche with number 08-08.

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Length: 17 pages
Date of creation: 2008
Date of revision:
Handle: RePEc:shr:wpaper:08-08

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Related research
Keywords: Health inequality; Self-reported health status; Income distribution; Stochastic dominance; Social welfare;

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Find related papers by JEL classification:
I10 - Health, Education, and Welfare - - Health - - - General
I32 - Health, Education, and Welfare - - Welfare and Poverty - - - Measurement and Analysis of Poverty
I38 - Health, Education, and Welfare - - Welfare and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
D30 - Microeconomics - - Distribution - - - General
H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. June E. O'Neill & Dave M. O'Neill, 2007. "Health Status, Health Care and Inequality: Canada vs. the U.S," NBER Working Papers 13429, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  2. Humphries, K.H. & Van Doorslaer, E., 1998. "Income-Related Health Inequality in Canada," Centre for Health Services and Policy Research 98:10d, University of British Columbia - Centre for Health Services and Policy Research..
  3. Atkinson, A B, 1992. "Measuring Poverty and Differences in Family Composition," Economica, London School of Economics and Political Science, vol. 59(233), pages 1-16, February. [Downloadable!] (restricted)
  4. Contoyannis, Paul & Forster, Martin, 1999. "The distribution of health and income: a theoretical framework," Journal of Health Economics, Elsevier, vol. 18(5), pages 603-620, October. [Downloadable!] (restricted)
    Other versions:
  5. David M. Cutler & Angus S. Deaton & Adriana Lleras-Muney, 2006. "The Determinants of Mortality," NBER Working Papers 11963, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  6. Doorslaer, Eddy van & Jones, Andrew M., 2003. "Inequalities in self-reported health: validation of a new approach to measurement," Journal of Health Economics, Elsevier, vol. 22(1), pages 61-87, January. [Downloadable!] (restricted)
  7. Deaton, Angus S & Paxson, Christina H, 1998. "Aging and Inequality in Income and Health," American Economic Review, American Economic Association, vol. 88(2), pages 248-53, May. [Downloadable!] (restricted)
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  8. Allison, R. Andrew & Foster, James E., 2004. "Measuring health inequality using qualitative data," Journal of Health Economics, Elsevier, vol. 23(3), pages 505-524, May. [Downloadable!] (restricted)
  9. Atkinson, Anthony B & Bourguignon, Francois, 1982. "The Comparison of Multi-Dimensioned Distributions of Economic Status," Review of Economic Studies, Blackwell Publishing, vol. 49(2), pages 183-201, April. [Downloadable!] (restricted)
  10. Angus Deaton, 2003. "Health, Inequality, and Economic Development," Journal of Economic Literature, American Economic Association, vol. 41(1), pages 113-158, March.
    Other versions:
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