IDEAS home Printed from https://ideas.repec.org/a/kap/decono/v165y2017i3d10.1007_s10645-017-9290-y.html
   My bibliography  Save this article

Early Smoking, Education, and Labor Market Performance

Author

Listed:
  • Ali Palali

    (CPB Netherlands Bureau for Economic Policy Analysis
    Tilburg University)

Abstract

This study investigates the effects of early smoking on educational attainment and labor market performance by using mixed ordered and mixed proportional hazard models. The results show that early smoking adversely affects educational attainment and initial labor market performance, but only for males. The probability to finish a scientific degree is 4%-point lower for an early smoker. The effect of early smoking on initial labor market performance is indirect through educational attainment. Once the indirect effect is controlled for there is no direct effect. Moreover, for males only, early smoking has a negative effect on current labor market performance even after conditioning on educational attainment. The probability to have an academic job is 4%-point lower for an early smoker. For females neither education nor labor market performance is affected by early smoking.

Suggested Citation

  • Ali Palali, 2017. "Early Smoking, Education, and Labor Market Performance," De Economist, Springer, vol. 165(3), pages 225-270, September.
    • Handle: RePEc:kap:decono:v:165:y:2017:i:3:d:10.1007_s10645-017-9290-y
    DOI: 10.1007/s10645-017-9290-y
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10645-017-9290-y
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10645-017-9290-y?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. van Ours, Jan C., 2002. "A pint a day raises a man's pay; but smoking blows that gain away," IZA Discussion Papers 473, Institute of Labor Economics (IZA).
    2. Mroz, Thomas A., 1999. "Discrete factor approximations in simultaneous equation models: Estimating the impact of a dummy endogenous variable on a continuous outcome," Journal of Econometrics, Elsevier, vol. 92(2), pages 233-274, October.
    3. van Ours, Jan C. & Williams, Jenny, 2009. "Why parents worry: Initiation into cannabis use by youth and their educational attainment," Journal of Health Economics, Elsevier, vol. 28(1), pages 132-142, January.
    4. Heckman, James & Singer, Burton, 1984. "A Method for Minimizing the Impact of Distributional Assumptions in Econometric Models for Duration Data," Econometrica, Econometric Society, vol. 52(2), pages 271-320, March.
    5. van Ours, Jan C., 2003. "Is cannabis a stepping-stone for cocaine?," Journal of Health Economics, Elsevier, vol. 22(4), pages 539-554, July.
    6. Charles N. Noussair & Stefan T. Trautmann & Gijs van de Kuilen, 2014. "Higher Order Risk Attitudes, Demographics, and Financial Decisions," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 81(1), pages 325-355.
    7. Pesko, Michael F. & Baum, Christopher F., 2016. "The self-medication hypothesis: Evidence from terrorism and cigarette accessibility," Economics & Human Biology, Elsevier, vol. 22(C), pages 94-102.
    8. Myong-Il Kang & Shinsuke Ikeda, 2013. "Time Discounting, Present Biases, and Health-Related Behavior," ISER Discussion Paper 0885, Institute of Social and Economic Research, Osaka University.
    9. Heineck, Guido & Schwarze, Johannes, 2003. "Substance Use and Earnings: The Case of Smokers in Germany," IZA Discussion Papers 743, Institute of Labor Economics (IZA).
    10. Y.L. Lee, 1999. "Wage Effects of Drinking and Smoking: An analysis using Australian twins data," Economics Discussion / Working Papers 99-22, The University of Western Australia, Department of Economics.
    11. Jan C. Van Ours, 2007. "The Effects of Cannabis Use on Wages of Prime‐age Males," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 69(5), pages 619-634, October.
    12. Jan C. van Ours, 2006. "Cannabis, cocaine and jobs," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 21(7), pages 897-917, November.
    13. M. Christopher Auld, 1998. "Wages, Alcohol Use, and Smoking: Simultaneous Estimates," HEW 9808001, University Library of Munich, Germany.
    14. Zhao, Meng & Konishi, Yoshifumi & Glewwe, Paul, 2012. "Does smoking affect schooling? Evidence from teenagers in rural China," Journal of Health Economics, Elsevier, vol. 31(4), pages 584-598.
    15. Zarkin, Gary A. & Mroz, Thomas A. & Bray, Jeremy W. & French, Michael T., 1998. "The relationship between drug use and labor supply for young men," Labour Economics, Elsevier, vol. 5(4), pages 385-409, December.
    16. 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.
    17. Phillip B. Levine & Tara A. Gustafson & Ann D. Velenchik, 1997. "More Bad News for Smokers? The Effects of Cigarette Smoking on Wages," ILR Review, Cornell University, ILR School, vol. 50(3), pages 493-509, April.
    18. Michael T. French & Ioana Popovici, 2011. "That instrument is lousy! In search of agreement when using instrumental variables estimation in substance use research," Health Economics, John Wiley & Sons, Ltd., vol. 20(2), pages 127-146, February.
    19. Timothy G. Conley & Christian B. Hansen & Peter E. Rossi, 2012. "Plausibly Exogenous," The Review of Economics and Statistics, MIT Press, vol. 94(1), pages 260-272, February.
    20. van Ours, Jan C., 2004. "A pint a day raises a man's pay; but smoking blows that gain away," Journal of Health Economics, Elsevier, vol. 23(5), pages 863-886, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Palali, Ali, 2015. "Early Smoking, Education, and Labor Market Performance," Discussion Paper 2015-033, Tilburg University, Center for Economic Research.
    2. Palali, Ali, 2017. "Early smoking, education, and labor market performance," Other publications TiSEM a3763677-b112-4fea-a9f3-5, Tilburg University, School of Economics and Management.
    3. Palali, Ali, 2015. "Early Smoking, Education, and Labor Market Performance," Other publications TiSEM b51be057-cb0e-445a-a428-4, Tilburg University, School of Economics and Management.
    4. Williams, Jenny & van Ours, Jan C., 2017. "Early Cannabis Use and School to Work Transition of Young Men," IZA Discussion Papers 10488, Institute of Labor Economics (IZA).
    5. Eric A. BONDZIE, 2016. "Effect of Smoking and other Economic Variables on Wages in the Euro Area," Journal of Economics Bibliography, KSP Journals, vol. 3(1), pages 38-52, March.
    6. Ali Palali & Jan C. Ours, 2017. "Cannabis use and support for cannabis legalization," Empirical Economics, Springer, vol. 53(4), pages 1747-1770, December.
    7. van Ours, Jan C., 2004. "A pint a day raises a man's pay; but smoking blows that gain away," Journal of Health Economics, Elsevier, vol. 23(5), pages 863-886, September.
    8. Jan C. van Ours & Jenny Williams, 2011. "Cannabis use and mental health problems," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 26(7), pages 1137-1156, November.
    9. Silke Anger & Michael Kvasnicka, 2006. "Biases in Estimates of the Smoking Wage Penalty," Discussion Papers of DIW Berlin 654, DIW Berlin, German Institute for Economic Research.
    10. Silvia Balia & Andrew M. Jones, 2011. "Catching the habit: a study of inequality of opportunity in smoking‐related mortality," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 174(1), pages 175-194, January.
    11. Jenny Williams & Jan C. van Ours, 2020. "Hazardous or not? Cannabis use and early labor market experiences of young men," Health Economics, John Wiley & Sons, Ltd., vol. 29(10), pages 1148-1160, October.
    12. van Ours, Jan C. & Williams, Jenny, 2012. "The effects of cannabis use on physical and mental health," Journal of Health Economics, Elsevier, vol. 31(4), pages 564-577.
    13. Anger, Silke & Kvasnicka, Michael, 2010. "Does Smoking Really Harm Your Earnings so Much? Biases in Current Estimates of the Smoking Wage Penalty," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 17(6), pages 561-564.
    14. F. Brune, Lasse, 2007. "The smoker’s wage penalty puzzle: evidence from Britain," ISER Working Paper Series 2007-31, Institute for Social and Economic Research.
    15. Donata Bessey & Uschi Backes-Gellner, 2009. "Marijuana Consumption, Educational Outcomes and Labor Market Success: Evidence from Switzerland," Economics of Education Working Paper Series 0043, University of Zurich, Department of Business Administration (IBW).
    16. repec:hum:wpaper:sfb649dp2006-089 is not listed on IDEAS
    17. van Ours, J.C., 2005. "Cannabis, Cocaine and the Wages of Prime Age Males," Discussion Paper 2005-14, Tilburg University, Center for Economic Research.
    18. Pierre Pestieau & Gregory Ponthiere, 2012. "Myopia, regrets, and risky behaviors," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 19(2), pages 288-317, April.
    19. Jan C. Ours & Jenny Williams, 2015. "Cannabis Use And Its Effects On Health, Education And Labor Market Success," Journal of Economic Surveys, Wiley Blackwell, vol. 29(5), pages 993-1010, December.
    20. Maryam Dilmaghani, 2022. "The link between smoking, drinking and wages: Health, workplace social capital or discrimination?," Industrial Relations Journal, Wiley Blackwell, vol. 53(2), pages 160-183, March.
    21. Marlon P. Mundt & Michael T. French, 2013. "Adolescent alcohol use, sociability and income as a young adult," Applied Economics, Taylor & Francis Journals, vol. 45(23), pages 3329-3339, August.

    More about this item

    Keywords

    Early smoking; Education; Labor market performance; Mixed proportional hazard models; Discrete factor approach;
    All these keywords.

    JEL classification:

    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • I19 - Health, Education, and Welfare - - Health - - - Other
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:decono:v:165:y:2017:i:3:d:10.1007_s10645-017-9290-y. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.