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Health, Family Structure, and Labor Supply

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  • Parsons, Donald O

Abstract

I consider the health, family structure, and labor supply inter-relationships at both a theoretical and empirical level. The paper is organized in the following way. SectionI introduces the material. In Section II, a theoretical model of family time allocation among market, home, and health activities is developed. The concept of a family health maintenance function is formalized to generate qualitative predictions of the effect of wages, health status, health care efficiency, and property income on the labor supply of husband and wife. In Section III, data from the older male portion of the National Longitudinal Surveys are used to estimate labor supply functions for married and single men with special attention to differences in poor health responses. A simultaneous model of male labor supply and other family income (chiefly transfer income and the earnings of the wife) is then estimated to determine whether variations in the work hours of males, largely due to health differences, induce any substantial changes in income producing activities by other family members. Finally, in Section IV the detailed time budget data on both males and females from the Productive Americans Survey are used to estimate more precisely the effect of health on total family time allocations. These data provide estimates of the impact of poor health on home production time as well as market time for both husband and wife.
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Suggested Citation

  • Parsons, Donald O, 1977. "Health, Family Structure, and Labor Supply," American Economic Review, American Economic Association, vol. 67(4), pages 703-712, September.
    • Handle: RePEc:aea:aecrev:v:67:y:1977:i:4:p:703-12
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    Cited by:

    1. Michele J. Siegel, 2006. "Measuring the effect of husband's health on wife's labor supply," Health Economics, John Wiley & Sons, Ltd., vol. 15(6), pages 579-601, June.
    2. Melissa Bjelland, 2005. "Are the Lasting Effects of Employee-Employer Separations induced by Layoff and Disability Similar? Exploring Job Displacement using Survey and Administrative Data," Longitudinal Employer-Household Dynamics Technical Papers 2005-03, Center for Economic Studies, U.S. Census Bureau.
    3. Lawrence W. Kenny, 1978. "Male Wage Rates and Marital Status," NBER Working Papers 0271, National Bureau of Economic Research, Inc.
    4. Zheng Shen & Xiaodong Zheng & Yiwen Tan, 2019. "The Spillover Effects of Spousal Chronic Diseases on Married Couples’ Labour Supply: Evidence from China," IJERPH, MDPI, vol. 16(21), pages 1-18, October.
    5. Jeon, Sung-Hee & Pohl, R. Vincent, 2017. "Health and work in the family: Evidence from spouses’ cancer diagnoses," Journal of Health Economics, Elsevier, vol. 52(C), pages 1-18.
    6. repec:eee:labchp:v:3:y:1999:i:pc:p:3309-3416 is not listed on IDEAS
    7. Tipper, Adam, 2010. "Economic models of the family and the relationship between economic status and health," Social Science & Medicine, Elsevier, vol. 70(10), pages 1567-1573, May.
    8. Hamermesh, Daniel S, 1984. "Life-Cycle Effects on Consumption and Retirement," Journal of Labor Economics, University of Chicago Press, vol. 2(3), pages 353-370, July.
    9. Iosifidi, Maria, 2016. "Environmental awareness, consumption, and labor supply: Empirical evidence from household survey data," Ecological Economics, Elsevier, vol. 129(C), pages 1-11.
    10. Ahituv, Avner & Lerman, Robert I., 2005. "How Do Marital Status, Wage Rates, and Work Commitment Interact?," IZA Discussion Papers 1688, Institute of Labor Economics (IZA).
    11. Z.V. Kambourova & W.H.J. Hassink, 2019. "Husband’s labour supply after a breast cancer diagnosis," Working Papers 19-10, Utrecht School of Economics.
    12. Petri Böckerman & Mika Kortelainen & Henri Salokangas & Maria Vaalavuo, 2025. "A family affair? Long-term economic and mental health effects of spousal cancer," Journal of Population Economics, Springer;European Society for Population Economics, vol. 38(1), pages 1-30, March.
    13. Ning Li, 2023. "Health and household labor supply: instantaneous and adaptive behavior of an aging workforce," Review of Economics of the Household, Springer, vol. 21(4), pages 1359-1378, December.
    14. Ze'ev Shtudiner, 2015. "The Marriage Premium and Productivity: The Case of NBA Players," International Journal of Economic Sciences, International Institute of Social and Economic Sciences, vol. 4(4), pages 53-65, December.
    15. Wilson, Sven E., 2012. "Marriage, gender and obesity in later life," Economics & Human Biology, Elsevier, vol. 10(4), pages 431-453.
    16. Veronesi, Marcella, 2007. "Environmental Risk Factors, Health and the Labor Market Response of Married Men and Women in the United States," Working Papers 98552, University of Maryland, Department of Agricultural and Resource Economics.
    17. Lee, Siha, 2020. "Household responses to disability shocks: Spousal labor supply, caregiving, and disability insurance," CLEF Working Paper Series 21, Canadian Labour Economics Forum (CLEF), University of Waterloo.
    18. Siha Lee, 2024. "Spousal Labor Supply, Caregiving, And The Value Of Disability Insurance," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 65(4), pages 1681-1716, November.
    19. Roy, Soumyadip & Orazem, Peter F., 2021. "Active leisure, passive leisure and health," Economics & Human Biology, Elsevier, vol. 43(C).

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