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Unemployment and self‐assessed health: evidence from panel data

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  • Petri Böckerman
  • Pekka Ilmakunnas

Abstract

We examine the relationship between unemployment and self‐assessed health using the European Community Household Panel for Finland over the period 1996–2001. Our results show that the event of becoming unemployed does not matter as such for self‐assessed health. The health status of those that end up being unemployed is lower than that of the continually employed. Therefore, persons who have poor health are being selected for the pool of the unemployed. This explains why, in a cross‐section, unemployment is associated with poor self‐assessed health. All in all, the cross‐sectional negative relationship between unemployment and self‐assessed health is not found longitudinally. Copyright © 2008 John Wiley & Sons, Ltd.

Suggested Citation

  • Petri Böckerman & Pekka Ilmakunnas, 2009. "Unemployment and self‐assessed health: evidence from panel data," Health Economics, John Wiley & Sons, Ltd., vol. 18(2), pages 161-179, February.
    • Handle: RePEc:wly:hlthec:v:18:y:2009:i:2:p:161-179
    DOI: 10.1002/hec.1361
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    More about this item

    JEL classification:

    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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