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Health effects of downsizing survival and job loss in Norway

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  • Østhus, Ståle

Abstract

The effects of job displacement (i.e. job loss due to downsizing or plant closure) and downsizing survival on different health outcomes (i.e. psychological distress, muscle-skeletal pain, and chest pain) were examined with annual panel data from the Norwegian Panel Survey of Living Conditions 1997–2003. The data were analyzed by means of dynamic panel data regression models, taking explicitly into account pre-downsizing health levels and unobserved heterogeneity. In contrast to some previous studies, but in line with theoretical expectations, no significant effect of downsizing survival was found. Job displacement was, however, found to lead to a significant increase in psychological distress, but even this effect seems transitory rather than long-lasting.

Suggested Citation

  • Østhus, Ståle, 2012. "Health effects of downsizing survival and job loss in Norway," Social Science & Medicine, Elsevier, vol. 75(5), pages 946-953.
  • Handle: RePEc:eee:socmed:v:75:y:2012:i:5:p:946-953
    DOI: 10.1016/j.socscimed.2012.04.036
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    References listed on IDEAS

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    1. Ferrie, Jane E. & Shipley, Martin J. & Marmot, Michael G. & Stansfeld, Stephen & Smith, George Davey, 1998. "The health effects of major organisational change and job insecurity," Social Science & Medicine, Elsevier, vol. 46(2), pages 243-254, January.
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    3. Lori G. Kletzer, 1998. "Job Displacement," Journal of Economic Perspectives, American Economic Association, vol. 12(1), pages 115-136, Winter.
    4. Brigitte C. Madrian, 1994. "Employment-Based Health Insurance and Job Mobility: Is there Evidence of Job-Lock?," The Quarterly Journal of Economics, Oxford University Press, vol. 109(1), pages 27-54.
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    6. Meyer, Bruce D, 1995. "Natural and Quasi-experiments in Economics," Journal of Business & Economic Statistics, American Statistical Association, vol. 13(2), pages 151-161, April.
    7. Østhus, Ståle & Mastekaasa, Arne, 2010. "The impact of downsizing on remaining workers' sickness absence," Social Science & Medicine, Elsevier, vol. 71(8), pages 1455-1462, October.
    8. Kristiina Huttunen & Jarle Møen & Kjell G. Salvanes, 2011. "How Destructive Is Creative Destruction? Effects Of Job Loss On Job Mobility, Withdrawal And Income," Journal of the European Economic Association, European Economic Association, vol. 9(5), pages 840-870, October.
    9. Ezzy, Douglas, 1993. "Unemployment and mental health: A critical review," Social Science & Medicine, Elsevier, vol. 37(1), pages 41-52, July.
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    Cited by:

    1. Bassanini, Andrea & Caroli, Eve, 2014. "Is work bad for health? The role of constraint vs choice," CEPREMAP Working Papers (Docweb) 1402, CEPREMAP.
    2. Thomas Barnay, 2016. "Health, work and working conditions: a review of the European economic literature," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 17(6), pages 693-709, July.
    3. repec:dau:papers:123456789/12483 is not listed on IDEAS

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