IDEAS home Printed from https://ideas.repec.org/p/irs/cepswp/2018-12.html
   My bibliography  Save this paper

The Great Recession, financial strain and self-assessed health in Ireland

Author

Listed:
  • MAZEIKAITE Gintare
  • O'DONOGHUE Cathal
  • SOLOGON Denisa

Abstract

In this paper, we study the effects of the 2008 economic crisis on general health in one of the most severely affected EU economies – Ireland. We examine the relationship between compositional changes in demographic and socio-economic factors, such as education, income, and financial strain, and changes in the prevalence of poor self-assessed health over a 5-year period (2008-2013). We apply a generalised Oaxaca-Blinder decomposition approach for non-linear regression models proposed by Fairlie (1999, 2005). Results show that the increased financial strain explained the largest part of the increase in poor health in the Irish population and different sub-groups. Changes in the economic activity status and population structure also had a significant positive effect. The expansion of education had a significant negative effect, preventing further increases in poor health. Wealthier and better-educated individuals experienced larger relative increases in poor health, which led to reduced socioeconomic health inequalities.

Suggested Citation

  • MAZEIKAITE Gintare & O'DONOGHUE Cathal & SOLOGON Denisa, 2018. "The Great Recession, financial strain and self-assessed health in Ireland," LISER Working Paper Series 2018-12, Luxembourg Institute of Socio-Economic Research (LISER).
  • Handle: RePEc:irs:cepswp:2018-12
    as

    Download full text from publisher

    File URL: https://www.liser.lu/publi_viewer.cfm?tmp=4224
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. MAZEIKAITE Gintare & O'DONOGHUE Cathal & SOLOGON Denisa, 2017. "Decomposing health inequality in the EU," LISER Working Paper Series 2017-02, Luxembourg Institute of Socio-Economic Research (LISER).
    2. Fairlie, Robert W, 1999. "The Absence of the African-American Owned Business: An Analysis of the Dynamics of Self-Employment," Journal of Labor Economics, University of Chicago Press, vol. 17(1), pages 80-108, January.
    3. Krieger, J. & Higgins, D.L., 2002. "Housing and health: Time again for public health action," American Journal of Public Health, American Public Health Association, vol. 92(5), pages 758-768.
    4. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
    5. John Gathergood, 2012. "Debt and Depression: Causal Links and Social Norm Effects," Economic Journal, Royal Economic Society, vol. 122(563), pages 1094-1114, September.
    6. Andreyeva, T. & Long, M.W. & Brownell, K.D., 2010. "The impact of food prices on consumption: A systematic review of research on the price elasticity of demand for food," American Journal of Public Health, American Public Health Association, vol. 100(2), pages 216-222.
    7. Johar, Meliyanni & Jones, Glenn & Keane, Micheal P. & Savage, Elizabeth & Stavrunova, Olena, 2013. "Discrimination in a universal health system: Explaining socioeconomic waiting time gaps," Journal of Health Economics, Elsevier, vol. 32(1), pages 181-194.
    8. Christopher Whelan & Helen Russell & Bertrand Maître, 2016. "Economic Stress and the Great Recession in Ireland: Polarization, Individualization or ‘Middle Class Squeeze’?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 126(2), pages 503-526, March.
    9. Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
    10. Arber, Sara & Fenn, Kirsty & Meadows, Robert, 2014. "Subjective financial well-being, income and health inequalities in mid and later life in Britain," Social Science & Medicine, Elsevier, vol. 100(C), pages 12-20.
    11. Marc Suhrcke & David Stuckler & Jonathan E Suk & Monica Desai & Michaela Senek & Martin McKee & Svetla Tsolova & Sanjay Basu & Ibrahim Abubakar & Paul Hunter & Boika Rechel & Jan C Semenza, 2011. "The Impact of Economic Crises on Communicable Disease Transmission and Control: A Systematic Review of the Evidence," PLOS ONE, Public Library of Science, vol. 6(6), pages 1-12, June.
    12. Ben Jann, 2008. "A Stata implementation of the Blinder-Oaxaca decomposition," ETH Zurich Sociology Working Papers 5, ETH Zurich, Chair of Sociology, revised 14 May 2008.
    13. Wagstaff, Adam & van Doorslaer, Eddy & Watanabe, Naoko, 2003. "On decomposing the causes of health sector inequalities with an application to malnutrition inequalities in Vietnam," Journal of Econometrics, Elsevier, vol. 112(1), pages 207-223, January.
    14. Burke, Sara & Thomas, Steve & Barry, Sarah & Keegan, Conor, 2014. "Indicators of health system coverage and activity in Ireland during the economic crisis 2008–2014 – From ‘more with less’ to ‘less with less’," Health Policy, Elsevier, vol. 117(3), pages 275-278.
    15. Christopher T. Whelan & Brian Nolan & Bertrand Maître, 2018. "Economic Stress and the Great Recession in Ireland: The Erosion of Social Class Advantage," The Economic and Social Review, Economic and Social Studies, vol. 49(3), pages 259-286.
    16. Yun, Myeong-Su, 2004. "Decomposing differences in the first moment," Economics Letters, Elsevier, vol. 82(2), pages 275-280, February.
    17. Oaxaca, Ronald L. & Ransom, Michael R., 1994. "On discrimination and the decomposition of wage differentials," Journal of Econometrics, Elsevier, vol. 61(1), pages 5-21, March.
    18. Frederick J. Zimmerman & Wayne Katon, 2005. "Socioeconomic status, depression disparities, and financial strain: what lies behind the income‐depression relationship?," Health Economics, John Wiley & Sons, Ltd., vol. 14(12), pages 1197-1215, December.
    19. 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, July.
    20. Desai, Meghnad & Shah, Anup, 1988. "An Econometric Approach to the Measurement of Poverty," Oxford Economic Papers, Oxford University Press, vol. 40(3), pages 505-522, September.
    21. Olivier Bargain, 2010. "Back to the future - decomposition analysis of distributive policies using behavioural simulations," Working Papers 201032, School of Economics, University College Dublin.
    22. Christopher T. Whelan & Brian Nolan & Bertrand Maítre, 2016. "The Great Recession and the Changing Distribution of Economic Stress across Income Classes and the Life Course in Ireland: A Comparative Perspective," Working Papers 201603, Geary Institute, University College Dublin.
    23. Fowler, K.A. & Gladden, R.M. & Vagi, K.J. & Barnes, J. & Frazier, L., 2015. "Increase in suicides associated with home eviction and foreclosure during the US housing crisis: Findings from 16 national violent death reporting system states, 2005-2010," American Journal of Public Health, American Public Health Association, vol. 105(2), pages 311-316.
    24. Brenner, M. Harvey & Mooney, Anne, 1983. "Unemployment and health in the context of economic change," Social Science & Medicine, Elsevier, vol. 17(16), pages 1125-1138, January.
    25. Carlson, Per, 2004. "The European health divide: a matter of financial or social capital?," Social Science & Medicine, Elsevier, vol. 59(9), pages 1985-1992, November.
    26. Max Coveney & Pilar García‐Gómez & Eddy Van Doorslaer & Tom Van Ourti, 2016. "Health Disparities by Income in Spain Before and After the Economic Crisis," Health Economics, John Wiley & Sons, Ltd., vol. 25(S2), pages 141-158, November.
    27. repec:wly:hlthec:v:25:y:2016:i::p:141-158 is not listed on IDEAS
    28. Thomas Bauer & Mathias Sinning, 2008. "An extension of the Blinder–Oaxaca decomposition to nonlinear models," AStA Advances in Statistical Analysis, Springer;German Statistical Society, vol. 92(2), pages 197-206, May.
    29. Clayton, Maya & Liñares-Zegarra, José & Wilson, John O.S., 2015. "Does debt affect health? Cross country evidence on the debt-health nexus," Social Science & Medicine, Elsevier, vol. 130(C), pages 51-58.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Hamidreza Rabiei-Dastjerdi & Gavin McArdle, 2021. "Novel Exploratory Spatiotemporal Analysis to Identify Sociospatial Patterns at Small Areas Using Property Transaction Data in Dublin," Land, MDPI, vol. 10(6), pages 1-16, May.
    2. Eduardo Ignacio Polo-Muro, 2021. "The effect of labor market shocks on mental health outcomes: evidence from the Spanish Great Recession," Working Papers 21.08, Universidad Pablo de Olavide, Department of Economics.
    3. Maite Blázquez & Santiago Budría & Ana I. Moro‐Egido, 2021. "Job Insecurity, Debt Burdens, and Individual Health," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 67(4), pages 872-899, December.
    4. Cinaroglu, Songul, 2021. "Changes in hospital efficiency and size: An integrated propensity score matching with data envelopment analysis," Socio-Economic Planning Sciences, Elsevier, vol. 76(C).
    5. Christopher T. Whelan & Brian Nolan & Bertrand Maître, 2018. "Economic Stress and the Great Recession in Ireland: The Erosion of Social Class Advantage," The Economic and Social Review, Economic and Social Studies, vol. 49(3), pages 259-286.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wolff, François-Charles, 2012. "Decomposition of non-linear models using simulated residuals," Economics Letters, Elsevier, vol. 116(3), pages 346-348.
    2. Laetitia Duval & François-Charles Wolff, 2016. "“I even met happy gypsies”," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 24(4), pages 727-764, October.
    3. González Álvarez, M Luz & Barranquero, Antonio Clavero, 2009. "Inequalities in health care utilization in Spain due to double insurance coverage: An Oaxaca-Ransom decomposition," Social Science & Medicine, Elsevier, vol. 69(5), pages 793-801, September.
    4. Owen O’Donnell & Eddy van Doorslaer & Adam Wagstaff, 2012. "Decomposition of Inequalities in Health and Health Care," Chapters, in: Andrew M. Jones (ed.), The Elgar Companion to Health Economics, Second Edition, chapter 17, Edward Elgar Publishing.
    5. Jörg Schwiebert, 2015. "A detailed decomposition for nonlinear econometric models," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 13(1), pages 53-67, March.
    6. Laetitia Duval & François-Charles Wolff, 2016. "Emigration intentions of Roma: evidence from Central and South-East Europe," Post-Communist Economies, Taylor & Francis Journals, vol. 28(1), pages 87-107, January.
    7. Frank M. Fossen, 2012. "Gender differences in entrepreneurial choice and risk aversion -- a decomposition based on a microeconometric model," Applied Economics, Taylor & Francis Journals, vol. 44(14), pages 1795-1812, May.
    8. R. Mussa, 2014. "Extending the Oaxaca-Blinder Decomposition to the Independent Double Hurdle Model: With Application to Parental Spending on Education in Malawi," Studies in Economics and Econometrics, Taylor & Francis Journals, vol. 38(3), pages 39-54, December.
    9. Karolina Goraus & Joanna Tyrowicz, 2014. "Gender Wage Gap in Poland – Can It Be Explained by Differences in Observable Characteristics?," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 36.
    10. MAZEIKAITE Gintare & O'DONOGHUE Cathal & SOLOGON Denisa, 2017. "Decomposing health inequality in the EU," LISER Working Paper Series 2017-02, Luxembourg Institute of Socio-Economic Research (LISER).
    11. Mariana Amorim & Laura M. Tach, 2019. "Multiple-Partner Fertility and Cohort Change in the Prevalence of Half-Siblings," Demography, Springer;Population Association of America (PAA), vol. 56(6), pages 2033-2061, December.
    12. Marco Caliendo & Frank M. Fossen & Alexander Kritikos & Miriam Wetter, 2015. "The Gender Gap in Entrepreneurship: Not just a Matter of Personality," CESifo Economic Studies, CESifo, vol. 61(1), pages 202-238.
    13. Lin, Carl, 2012. "Less Myth, More Measurement: Decomposing Excess Returns from the 1989 Minimum Wage Hike," IZA Discussion Papers 6269, Institute of Labor Economics (IZA).
    14. ChangHwan Kim, 2010. "Decomposing the Change in the Wage Gap Between White and Black Men Over Time, 1980-2005: An Extension of the Blinder-Oaxaca Decomposition Method," Sociological Methods & Research, , vol. 38(4), pages 619-651, May.
    15. Dolores Jiménez-Rubio & Cristina Hernández-Quevedo, 2011. "Inequalities in the use of health services between immigrants and the native population in Spain: what is driving the differences?," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 12(1), pages 17-28, February.
    16. Joern Block & Karsten Kohn & Danny Miller & Katrin Ullrich, 2015. "Necessity entrepreneurship and competitive strategy," Small Business Economics, Springer, vol. 44(1), pages 37-54, January.
    17. Gintare Mazeikaite & Cathal O’Donoghue & Denisa M. Sologon, 2021. "What Drives Cross-Country Health Inequality in the EU? Unpacking the Role of Socio-economic Factors," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 155(1), pages 117-155, May.
    18. Laetitia Duval & François-­charles Wolff, 2015. "" I Even Met Happy Gypsies " : Life Satisfaction of Roma Youth in the Balkans," Working Papers hal-01219250, HAL.
    19. Zeng, Di & You, Wen & Mills, Bradford & Alwang, Jeffrey & Royster, Michael & Anson-Dwamena, Rexford, 2015. "A closer look at the rural-urban health disparities: Insights from four major diseases in the Commonwealth of Virginia," Social Science & Medicine, Elsevier, vol. 140(C), pages 62-68.
    20. Husain, Zakir & Chatterjee, Amrita, 2009. "Primary completion rates across socio-religious communities in West Bengal," MPRA Paper 21185, University Library of Munich, Germany.

    More about this item

    Keywords

    population health; economic crisis; decomposition; socio-economic factors; EU-SILC; self-assessed health;
    All these keywords.

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • J00 - Labor and Demographic Economics - - General - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:irs:cepswp:2018-12. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Library and Documentation (email available below). General contact details of provider: https://edirc.repec.org/data/cepsslu.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.