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An econometric analysis of the mental-health effects of major events in the life of older individuals

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  • Maarten Lindeboom
  • France Portrait
  • Gerard J. van den Berg

Abstract

Major events in the life of an older individual, such as retirement, a significant decrease in income, death of the spouse, disability, and a move to a nursing home, may affect the mental-health status of the individual. For example, the individual may enter a prolonged depression. We investigate this using unique longitudinal panel data that track labor market behavior, health status, and major life events, over time. To deal with endogenous aspects of these events we apply fixed effects estimation methods. We find some strikingly large effects of certain events on the occurrence of depression. We relate the results to the health care and labor market policy towards older individuals. Copyright © 2002 John Wiley & Sons, Ltd.

Suggested Citation

  • Maarten Lindeboom & France Portrait & Gerard J. van den Berg, 2002. "An econometric analysis of the mental-health effects of major events in the life of older individuals," Health Economics, John Wiley & Sons, Ltd., vol. 11(6), pages 505-520.
    • Handle: RePEc:wly:hlthec:v:11:y:2002:i:6:p:505-520
    DOI: 10.1002/hec.746
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    1. Anne Case, 2004. "Does Money Protect Health Status? Evidence from South African Pensions," NBER Chapters,in: Perspectives on the Economics of Aging, pages 287-312 National Bureau of Economic Research, Inc.
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    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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