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Are There Differences in the Health-Socioeconomic Status Relationship over the Life Cycle? Evidence from Germany

Author

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  • Bender, Keith A.

    () (University of Aberdeen)

  • Habermalz, Steffen

    () (University of Mannheim)

Abstract

Most research on the relationship between health and socioeconomic status (SES) controls for changing age or investigates the relationship for a particular age range. This paper, however, examines changes in the relationship across ages, as well as controls for potential endogeneity in the health-SES relationship. Using data from German Socio Economic Panel, we find that the health-SES relationship does vary across the life cycle and that endogeneity is an important influence on the relationship. We also find tentative evidence that universal access to health care reduces the impact of income on self-reported health satisfaction.

Suggested Citation

  • Bender, Keith A. & Habermalz, Steffen, 2005. "Are There Differences in the Health-Socioeconomic Status Relationship over the Life Cycle? Evidence from Germany," IZA Discussion Papers 1560, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp1560
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    References listed on IDEAS

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    1. Gerdtham, Ulf-G & Johannesson, Magnus, 2001. "The relationship between happiness, health, and socio-economic factors: results based on Swedish microdata," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 30(6), pages 553-557.
    2. Clark, Andrew E & Oswald, Andrew J, 1994. "Unhappiness and Unemployment," Economic Journal, Royal Economic Society, vol. 104(424), pages 648-659, May.
    3. Peter Adams & Michael D. Hurd & Daniel L. McFadden & Angela Merrill & Tiago Ribeiro, 2004. "Healthy, Wealthy, and Wise? Tests for Direct Causal Paths between Health and Socioeconomic Status," NBER Chapters,in: Perspectives on the Economics of Aging, pages 415-526 National Bureau of Economic Research, Inc.
    4. Meer, Jonathan & Miller, Douglas L. & Rosen, Harvey S., 2003. "Exploring the health-wealth nexus," Journal of Health Economics, Elsevier, vol. 22(5), pages 713-730, September.
    5. Smith, James P, 1998. "Socioeconomic Status and Health," American Economic Review, American Economic Association, vol. 88(2), pages 192-196, May.
    6. James P. Smith, 1999. "Healthy Bodies and Thick Wallets: The Dual Relation between Health and Economic Status," Journal of Economic Perspectives, American Economic Association, vol. 13(2), pages 145-166, Spring.
    7. Winkelmann, Liliana & Winkelmann, Rainer, 1998. "Why Are the Unemployed So Unhappy? Evidence from Panel Data," Economica, London School of Economics and Political Science, vol. 65(257), pages 1-15, February.
    8. Michael Hurd & Arie Kapteyn, 2003. "Health, Wealth, and the Role of Institutions," Journal of Human Resources, University of Wisconsin Press, vol. 38(2).
    9. Gerlach, Knut & Stephan, Gesine, 1996. "A paper on unhappiness and unemployment in Germany," Economics Letters, Elsevier, vol. 52(3), pages 325-330, September.
    10. Grundy, Emily & Holt, Gemma, 2000. "Adult life experiences and health in early old age in Great Britain," Social Science & Medicine, Elsevier, vol. 51(7), pages 1061-1074, October.
    11. Metcalfe, Chris & Davey Smith, George & Sterne, Jonathan A. C. & Heslop, Pauline & Macleod, John & Hart, Carole, 2003. "Frequent job change and associated health," Social Science & Medicine, Elsevier, vol. 56(1), pages 1-15, January.
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    Cited by:

    1. Eriksson, Tor & Bratsberg, Bernt & Raaum, Oddbjørn, 2005. "Earnings persistence across generations: Transmission through health?," Memorandum 35/2005, Oslo University, Department of Economics.
    2. Bender, Keith A. & Theodossiou, Ioannis, 2009. "Controlling for endogeneity in the health-socioeconomic status relationship of the near retired," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(6), pages 977-987, December.
    3. Sara Rellstab & Marco Pecoraro & Alberto Holly & Philippe Wanner & Karine Renard, 2016. "The Migrant Health Gap and the Role of Labour Market Status: Evidence from Switzerland," IRENE Working Papers 16-14, IRENE Institute of Economic Research.
    4. Hostenkamp, Gisela & Stolpe, Michael, 2006. "The health gradient and early retirement: Evidence from the German Socio-economic Panel," Kiel Working Papers 1305, Kiel Institute for the World Economy (IfW).

    More about this item

    Keywords

    health; endogeneity; socioeconomic status; Germany; life cycle;

    JEL classification:

    • I0 - Health, Education, and Welfare - - General
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • J0 - Labor and Demographic Economics - - General
    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General

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