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Non‐pecuniary returns to higher education: the effect on smoking intensity in the UK

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  • Massimiliano Bratti
  • Alfonso Miranda

Abstract

This paper investigates whether higher education (HE) produces non-pecuniary returns via a reduction in the intensity of consumption of health‐damaging substances. In particular, it focuses on current smoking intensity of the British individuals sampled in the 29‐year follow‐up survey of the 1970 British Cohort Study. We estimate endogenous dummy ordinal response models for cigarette consumption and show that HE is endogenous with respect to smoking intensity and that even when endogeneity is accounted for, HE is found to have a strong negative effect on smoking intensity. Moreover, pecuniary channels, such as occupation and income, mediate only a minor part of the effect of HE. Our results are robust to modelling individual self‐selection into current smoking participation (at age 29) and to estimating a dynamic model in which past smoking levels affect current smoking levels. Copyright (C) 2009 John Wiley & Sons, Ltd.

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File URL: http://hdl.handle.net/10.1002/hec.1529
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Article provided by John Wiley & Sons, Ltd. in its journal Health Economics.

Volume (Year): 19 (2010)
Issue (Month): 8 (August)
Pages: 906-920

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Handle: RePEc:wly:hlthec:v:19:y:2010:i:8:p:906-920
Contact details of provider: Web page: http://www3.interscience.wiley.com/cgi-bin/jhome/5749

Keywords: endogenous dummy ; ordinal response models ; higher education ; sample selection ; smoking ; UK ;

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Find related papers by JEL classification:
  • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
  • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
  • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education

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  1. Christian Bantle & John P. Haisken-DeNew, 2002. "Smoke Signals: The Intergenerational Transmission of Smoking Behavior," Discussion Papers of DIW Berlin 277, DIW Berlin, German Institute for Economic Research.
  2. Barbara L. Wolfe & Robert H. Haveman, 2002. "Social and nonmarket benefits from education in an advanced economy," Conference Series ; [Proceedings], Federal Reserve Bank of Boston, vol. 47(Jun), pages 97-142.
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  9. Alfonso Miranda & Sophia Rabe-Hesketh, 2006. "Maximum likelihood estimation of endogenous switching and sample selection models for binary, ordinal, and count variables," Stata Journal, StataCorp LP, vol. 6(3), pages 285-308, September.
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  16. Sander, William, 1998. "The effects of schooling and cognitive ability on smoking and marijuana use by young adults," Economics of Education Review, Elsevier, vol. 17(3), pages 317-324, June.
  17. Scott Adams, 2002. "Educational Attainment and Health: Evidence from a Sample of Older Adults," Education Economics, Taylor & Francis Journals, vol. 10(1), pages 97-109.
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Cited by:

  1. Alfonso Miranda, 2013. "A double-hurdle count model for completed fertility data from the developing world," Mexican Stata Users' Group Meetings 2013 13, Stata Users Group.
  2. Michael J. Peel, 2014. "Addressing unobserved endogeneity bias in accounting studies: control and sensitivity methods by variable type," Accounting and Business Research, Taylor & Francis Journals, vol. 44(5), pages 545-571, October.
  3. Pierre Koning & Dinand Webbink & Nicholas Martin, 2015. "The effect of education on smoking behavior: new evidence from smoking durations of a sample of twins," Empirical Economics, Springer, vol. 48(4), pages 1479-1497, June.
  4. Helmut Rainer & Ian Smith, 2012. "Education, Communication and Wellbeing: An Application to Sexual Satisfaction," Kyklos, Wiley Blackwell, vol. 65(4), pages 581-598, November.
  5. Donald S. Kenkel & Maximilian D. Schmeiser & Carly Urban, 2014. "Is Smoking Inferior?: Evidence from Variation in the Earned Income Tax Credit," Journal of Human Resources, University of Wisconsin Press, vol. 49(4), pages 1094-1120.
  6. Alfonso Miranda & Sophia Rabe-Hesketh, 2006. "Maximum likelihood estimation of endogenous switching and sample selection models for binary, ordinal, and count variables," Stata Journal, StataCorp LP, vol. 6(3), pages 285-308, September.
  7. Annette Alstadsæter & Hans Henrik Sievertsen, 2009. "The Consumption Value of Higher Education," CESifo Working Paper Series 2871, CESifo Group Munich.
  8. Jason Fletcher & David Frisvold, 2014. "The long run health returns to college quality," Review of Economics of the Household, Springer, vol. 12(2), pages 295-325, June.
  9. Cowan Benjamin & Tefft Nathan, 2012. "Education, Maternal Smoking, and the Earned Income Tax Credit," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 12(1), pages 1-39, October.

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