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Health impairments and labour market outcomes

  • Nick Drydakis

    ()

    (Department of Economics - University of Crete, Greece)

Our analysis is based on the 2008 Athens Area Study and exploits detailed information regarding health impairments and labour market outcomes for Greek males. Distinguishing between healthy and heath-impaired employees who have or do not have work limitations, the unobserved productivity effect of health is separated from discrimination. We then estimate a regression model that includes terms to correct for employment selection and endogenous stratification of self-reported health condition. A penalty for productivity limitation exists. Evidence of wage discrimination is also found. Both findings are statistically significant and highlight the necessity for instituting active policies against unequal treatment.

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Paper provided by University of Crete, Department of Economics in its series Working Papers with number 0915.

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Publication status: Published in European Journal of Health Economics
Handle: RePEc:crt:wpaper:0915
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