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Simultaneous causality between health status and employment status within the population aged 30-59 in France

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  • Thomas Barnay
  • François Legendre

Abstract

Economic literature clearly establishes the link between socio-economic status, good health and a high level of education. Health status also appears to be a determining factor in an individual's present and future preferences (Disney et al., 2006). The relationship between health status and employment status is the subject of numerous research studies and can be apprehended from the principle of double causality: healthy worker effect and reverse causality (Currie and Madrian, 1999). We focus on these both noncontradictory and potentially simultaneous working assumptions. The aim of this work is to simultaneously measure the effects of health-related selfselection on employment status and the reverse causality effect within the population aged 30-59 in France by using an original method of SBOP (Simultaneous Bi-Ordered Probit Model).

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Bibliographic Info

Paper provided by TEPP in its series TEPP Working Paper with number 2012-13.

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Date of creation: 2012
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Handle: RePEc:tep:teppwp:wp12-13

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Postal: Université Paris-Est Marne La Vallée, 5 bd Descartes, 77454 Champs sur Marne
Web page: http://www.tepp.eu/
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  1. Blau, David M, 1998. "Labor Force Dynamics of Older Married Couples," Journal of Labor Economics, University of Chicago Press, vol. 16(3), pages 595-629, July.
  2. Gustman, Alan L & Steinmeier, Thomas L, 2000. "Retirement in Dual-Career Families: A Structural Model," Journal of Labor Economics, University of Chicago Press, vol. 18(3), pages 503-45, July.
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  4. An, M.Y. & Christensen, B.J. & Gupta, N.D., 1999. "A Bivariate Duration Model of the Joint Retirement Decisions of Married Couples," Papers 99-10, Centre for Labour Market and Social Research, Danmark-.
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  9. Mealli, Fabrizia & Rubin, Donald B., 2003. "Assumptions allowing the estimation of direct causal effects," Journal of Econometrics, Elsevier, vol. 112(1), pages 79-87, January.
  10. Salm, Martin, 2009. "Does Job Loss Cause Ill Health?," IZA Discussion Papers 4147, Institute for the Study of Labor (IZA).
  11. Janet Currie & Rosemary Hyson, 1999. "Is the Impact of Health Shocks Cushioned by Socioeconomic Status? The Case of Low Birthweight," NBER Working Papers 6999, National Bureau of Economic Research, Inc.
  12. Bound, John & Schoenbaum, Michael & Stinebrickner, Todd R. & Waidmann, Timothy, 1999. "The dynamic effects of health on the labor force transitions of older workers," Labour Economics, Elsevier, vol. 6(2), pages 179-202, June.
  13. Thomas Barnay, 2005. "Santé déclarée et cessation d'activité," Revue Française d'Économie, Programme National Persée, vol. 20(2), pages 73-106.
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  15. Thomas Barnay & Karine Briard, 2010. "Health and Early Retirement: Evidence from French Data for individuals," TEPP Working Paper 2010-07, TEPP.
  16. James P. Smith, 1999. "Healthy Bodies and Thick Wallets: The Dual Relation between Health and Economic Status," Journal of Economic Perspectives, American Economic Association, vol. 13(2), pages 145-166, Spring.
  17. Balsa, Ana I. & McGuire, Thomas G., 2001. "Statistical discrimination in health care," Journal of Health Economics, Elsevier, vol. 20(6), pages 881-907, November.
  18. Thomas Barnay, 2010. "In which ways do unhealthy people older than 50 exit the labour market in France?," The European Journal of Health Economics, Springer, vol. 11(2), pages 127-140, April.
  19. Disney, Richard & Emmerson, Carl & Wakefield, Matthew, 2006. "Ill health and retirement in Britain: A panel data-based analysis," Journal of Health Economics, Elsevier, vol. 25(4), pages 621-649, July.
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  22. Grundy, Emily & Holt, Gemma, 2000. "Adult life experiences and health in early old age in Great Britain," Social Science & Medicine, Elsevier, vol. 51(7), pages 1061-1074, October.
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