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Early Life Health and Adult Earnings: Evidence from a Large Sample of Siblings and Twins

  • Lundborg, Petter

    ()

    (Lund University)

  • Nilsson, Anton

    ()

    (Lund University)

  • Rooth, Dan-Olof

    ()

    (Linnaeus University)

We study the relationship between early life health and adult earnings using a unique dataset that covers almost the entire population of Swedish males born between 1950 and 1970. The health information is obtained from medical examinations during the mandatory military enlistment tests at age 18, which we have further linked to register data on adult earnings. We find that most types of major diagnoses have long-run effects on future earnings with the largest effects resulting from mental conditions. Including sibling fixed effects or twin-pair fixed effects reduces the magnitudes of the estimates, although remaining substantial.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5804.

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Length: 38 pages
Date of creation: Jun 2011
Date of revision:
Publication status: published as "Adolescent health and adult labor market outcomes" in: Journal of Healh Economics, 2014, 37, 25-40
Handle: RePEc:iza:izadps:dp5804
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  1. Case, Anne & Fertig, Angela & Paxson, Christina, 2005. "The lasting impact of childhood health and circumstance," Journal of Health Economics, Elsevier, vol. 24(2), pages 365-389, March.
  2. Jere R. Behrman & Mark R. Rosenzweig, 2004. "Returns to Birthweight," The Review of Economics and Statistics, MIT Press, vol. 86(2), pages 586-601, May.
  3. James P Smith, 2008. "The Impact of Childhood Health on Adult Labor Market Outcomes," Working Papers 200814, Geary Institute, University College Dublin.
  4. Lindqvist, Erik & Westman, Roine, 2009. "The Labor Market Returns to Cognitive and Noncognitive Ability: Evidence from the Swedish Enlistment," Working Paper Series 794, Research Institute of Industrial Economics.
  5. Susan L. Ettner & Richard G. Frank & Ronald C. Kessler, 1997. "The Impact of Psychiatric Disorders on Labor Market Outcomes," NBER Working Papers 5989, National Bureau of Economic Research, Inc.
  6. Sandra E. Black & Paul J. Devereux & Kjell G. Salvanes, 2006. "From the cradle to the labor market? The effect of birth weight on adult outcomes," LSE Research Online Documents on Economics 19425, London School of Economics and Political Science, LSE Library.
  7. Anne Case & Christina Paxson, 2008. "Height, Health and Cognitive Function at Older Ages," Working Papers 1007, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
  8. Susan L. Ettner & Richard G. Frank & Ronald C. Kessler, 1997. "The Impact of psychiatric disorders on labor market outcomes," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 51(1), pages 64-81, October.
  9. Pinka Chatterji & Margarita Alegria & Mingshan Lu & David Takeuchi, 2005. "Psychiatric Disorders and Labor Market Outcomes: Evidence from the National Latino and Asian American Study," NBER Working Papers 11893, National Bureau of Economic Research, Inc.
  10. Janet Currie & Mark Stabile & Phongsack Manivong & Leslie L. Roos, 2008. "Child Health and Young Adult Outcomes," NBER Working Papers 14482, National Bureau of Economic Research, Inc.
  11. Heather Royer, 2009. "Separated at Girth: US Twin Estimates of the Effects of Birth Weight," American Economic Journal: Applied Economics, American Economic Association, vol. 1(1), pages 49-85, January.
  12. Lundborg, Petter & Nystedt, Paul & Rooth, Dan-Olof, 2009. "The Height Premium in Earnings: The Role of Physical Capacity and Cognitive and Non-Cognitive Skills," IZA Discussion Papers 4266, Institute for the Study of Labor (IZA).
  13. Anne Case & Christina Paxson, 2008. "Height, Health and Cognitive Function at Older Ages," Working Papers 1127, Princeton University, Woodrow Wilson School of Public and International Affairs, Center for Health and Wellbeing..
  14. Michel D. Ferrari, 1998. "The Economic Burden of Migraine to Society," PharmacoEconomics, Springer Healthcare | Adis, vol. 13(6), pages 667-676.
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