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Alcohol Use and Earnings: Findings from a Community Based Study


  • Gokce Soydemir

    () (University of Texas - Pan American)

  • Elena Bastida

    (University of Texas - Pan American)


In this paper, we examine whether moderate alcohol consumption is associated with higher wages. A population-based sample of Mexican American workers, in the U.S. Southwest is employed. Estimation results indicate a positive association for the entire sample. The findings for the U.S. born Mexican Americans are similar to those of the other U.S. natives. However, we find mixed results for the Mexican born participants, perhaps due to their more recent arrival to the United States These results are consistent with the view that U.S. born Mexican Americans gradually resemble other U.S. born populations in reported trends of alcohol consumption and its association to wages.

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  • Gokce Soydemir & Elena Bastida, 2006. "Alcohol Use and Earnings: Findings from a Community Based Study," Eastern Economic Journal, Eastern Economic Association, vol. 32(4), pages 617-628, Fall.
  • Handle: RePEc:eej:eeconj:v:32:y:2006:i:4:p:617-628

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    1. French, Michael T. & Zarkin, Gary A., 1995. "Is moderate alcohol use related to wages? Evidence from four worksites," Journal of Health Economics, Elsevier, vol. 14(3), pages 319-344, August.
    2. Ruhm, Christopher J., 1995. "Economic conditions and alcohol problems," Journal of Health Economics, Elsevier, vol. 14(5), pages 583-603, December.
    3. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-838, May.
    4. Wechsler, H. & Dowdall, G.W. & Davenport, A. & Rimm, E.B., 1995. "A gender-specific measure of binge drinking among college students," American Journal of Public Health, American Public Health Association, vol. 85(7), pages 982-985.
    5. Mullahy, John & Sindelar, Jody L, 1991. "Gender Differences in Labor Market Effects of Alcoholism," American Economic Review, American Economic Association, vol. 81(2), pages 161-165, May.
    6. Zarkin, Gary A. & French, Michael T. & Mroz, Thomas & Bray, Jeremy W., 1998. "Alcohol use and wages: New results from the national household survey on drug abuse," Journal of Health Economics, Elsevier, vol. 17(1), pages 53-68, January.
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