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Older Americans, Depression, and Labor Market Outcomes

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  • Brandon C Koford

    (Department of Economics, John B. Goddard School of Business & Economics, Weber State University, Ogden, UT 84408, USA)

  • Attila Cseh

    (Department of Marketing and Economics, Langdale College of Business Administration, Valdosta State University, Valdosta, GA 31698, USA)

Abstract

We examine the effect of depressive symptoms on the labor market outcomes of older Americans using the Health and Retirement Study (HRS). We take advantage of the longitudinal nature of the HRS from 1994 to 2008 and employ panel data methods to control for time-invariant, individual unobserved heterogeneity. Models that do not take into account individual heterogeneity show that depressive symptoms significantly reduce wages for males and females. In contrast, models that explicitly take into account individual heterogeneity through fixed effect estimation show no economic or statistically significant reduction in wages for those with depressive symptoms.

Suggested Citation

  • Brandon C Koford & Attila Cseh, 2015. "Older Americans, Depression, and Labor Market Outcomes," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 41(1), pages 70-85, January.
    • Handle: RePEc:pal:easeco:v:41:y:2015:i:1:p:70-85
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    Cited by:

    1. Germinario, Giuseppe & Amin, Vikesh & Flores, Carlos A. & Flores-Lagunes, Alfonso, 2022. "What can we learn about the effect of mental health on labor market outcomes under weak assumptions? Evidence from the NLSY79," Labour Economics, Elsevier, vol. 79(C).
    2. Julio Huato & Aida Chavez, 2021. "Household Income, Pandemic-Related Income Loss, and the Probability of Anxiety and Depression," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 47(4), pages 546-570, October.

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