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Health shocks, employment and income in the Spanish labour market

  • Pilar García Gómez

    (Departament d' Economia i Empresa and CRES, Universitat Pompeu Fabra, Barcelona, Spain)

  • Angel López Nicolás

This paper investigates the relationship between health shocks and labour outcomes in the Spanish population using the European Community Household Panel. In order to control for the non-experimental nature of the data we use difference in difference and matching techniques. Our results suggest that there is a significant effect running from health to the probability of employment and to labour income. Moreover, while we cannot investigate the influence of childhood events and other phenomena that trigger long run causal pathways from socio-economic status to health, we are able to find a significant reduction in the probability of reporting good health in individuals who transit out of employment in comparison with individuals who are otherwise identical in terms of reported health status at the time of the transition. Copyright © 2006 John Wiley & Sons, Ltd.

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File URL: http://hdl.handle.net/10.1002/hec.1151
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Article provided by John Wiley & Sons, Ltd. in its journal Health Economics.

Volume (Year): 15 (2006)
Issue (Month): 9 ()
Pages: 997-1009

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Handle: RePEc:wly:hlthec:v:15:y:2006:i:9:p:997-1009
DOI: 10.1002/hec.1151
Contact details of provider: Web page: http://www3.interscience.wiley.com/cgi-bin/jhome/5749

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  8. Richard Blundell & Monica Costa Dias, 2002. "Alternative approaches to evaluation in empirical microeconomics," CeMMAP working papers CWP10/02, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
  9. Alberto Abadie & David Drukker & Jane Leber Herr & Guido W. Imbens, 2004. "Implementing matching estimators for average treatment effects in Stata," Stata Journal, StataCorp LP, vol. 4(3), pages 290-311, September.
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  11. Sergi Jiménez-Martín & José M. Labeaga & Cristina Vilaplana Prieto, 2005. "A sequential model for older workers’ labor transitions after a health shock," Economics Working Papers 898, Department of Economics and Business, Universitat Pompeu Fabra.
  12. Jeffrey M Wooldridge, 2002. "Simple solutions to the initial conditions problem in dynamic, nonlinear panel data models with unobserved heterogeneity," CeMMAP working papers CWP18/02, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
  13. Pilar García Gómez & Ángel López, 2004. "Socio-economic inequalities in health in Catalonia," Working Papers, Research Center on Health and Economics 758, Department of Economics and Business, Universitat Pompeu Fabra, revised Oct 2005.
  14. Alberto Abadie & Guido W. Imbens, 2002. "Simple and Bias-Corrected Matching Estimators for Average Treatment Effects," NBER Technical Working Papers 0283, National Bureau of Economic Research, Inc.
  15. Eddy van Doorslaer & Xander Koolman, 2004. "Explaining the differences in income-related health inequalities across European countries," Health Economics, John Wiley & Sons, Ltd., vol. 13(7), pages 609-628.
  16. Richard Disney & Carl Emmerson & Matthew Wakefield, 2003. "Ill health and retirement in Britain: a panel data based analysis," IFS Working Papers W03/02, Institute for Fiscal Studies.
  17. Pilar García Gómez & Ángel López, 2004. "Regional differences in socio-economic health inequalities in Spain," Economics Working Papers 757, Department of Economics and Business, Universitat Pompeu Fabra, revised Oct 2004.
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