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Does the Size of the Effect of Adverse Events at High Ages on Daily-Life Physical Functioning Depend on the Economic Conditions Around Birth?

Author

Listed:
  • Scholte, Robert

    () (SEO Economic Research)

  • van den Berg, Gerard J.

    () (University of Bristol)

  • Lindeboom, Maarten

    () (Vrije Universiteit Amsterdam)

  • Deeg, Dorly J. H.

    () (Vrije Universiteit Amsterdam)

Abstract

This paper considers determinants of physical-functional limitations in daily-life activities at high ages. Specifically, we quantify the extent to which the impact of adverse life events on this outcome is larger in case of exposure to adverse economic conditions early in life. Adverse life events include bereavement, severe illness in the family, and the onset of chronic diseases. We use a longitudinal data set of individuals born in the first decades of the 20th century. The business cycle around birth is used as an indicator of economic conditions early in life. We find that the extent to which functional limitations suffer from the onset of chronic diseases is larger if the individual was born in a recession. The long-run effect of economic conditions early in life on functional limitations at high ages runs primarily via this life event.

Suggested Citation

  • Scholte, Robert & van den Berg, Gerard J. & Lindeboom, Maarten & Deeg, Dorly J. H., 2014. "Does the Size of the Effect of Adverse Events at High Ages on Daily-Life Physical Functioning Depend on the Economic Conditions Around Birth?," IZA Discussion Papers 8075, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp8075
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    References listed on IDEAS

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    1. Gerard J. van den Berg & Maarten Lindeboom & France Portrait, 2006. "Economic Conditions Early in Life and Individual Mortality," American Economic Review, American Economic Association, vol. 96(1), pages 290-302, March.
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    3. Haas, Steven, 2008. "Trajectories of functional health: The 'long arm' of childhood health and socioeconomic factors," Social Science & Medicine, Elsevier, vol. 66(4), pages 849-861, February.
    4. Gerard J. vandenBerg & Dorly J.H. Deeg & Maarten Lindeboom & France Portrait, 2010. "The Role of Early-Life Conditions in the Cognitive Decline due to Adverse Events Later in Life," Economic Journal, Royal Economic Society, vol. 120(548), pages 411-428, November.
    5. Lindeboom, Maarten & van Doorslaer, Eddy, 2004. "Cut-point shift and index shift in self-reported health," Journal of Health Economics, Elsevier, vol. 23(6), pages 1083-1099, November.
    6. Albrecht, Gary L. & Devlieger, Patrick J., 1999. "The disability paradox: high quality of life against all odds," Social Science & Medicine, Elsevier, vol. 48(8), pages 977-988, April.
    7. Eran Shor & David Roelfs & Misty Curreli & Lynn Clemow & Matthew Burg & Joseph Schwartz, 2012. "Widowhood and Mortality: A Meta-Analysis and Meta-Regression," Demography, Springer;Population Association of America (PAA), vol. 49(2), pages 575-606, May.
    8. Espinosa, Javier & Evans, William N., 2008. "Heightened mortality after the death of a spouse: Marriage protection or marriage selection?," Journal of Health Economics, Elsevier, vol. 27(5), pages 1326-1342, September.
    9. Huang, Cheng & Soldo, Beth J. & Elo, Irma T., 2011. "Do early-life conditions predict functional health status in adulthood? The case of Mexico," Social Science & Medicine, Elsevier, vol. 72(1), pages 100-107, January.
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    Cited by:

    1. Dragone, Davide & Ziebarth, Nicolas R., 2017. "Non-separable time preferences, novelty consumption and body weight: Theory and evidence from the East German transition to capitalism," Journal of Health Economics, Elsevier, vol. 51(C), pages 41-65.
    2. Dragone, D. & Ziebarth, N.R., 2015. "Non-Separable Time Preferences and Novelty Consumption: Theory and Evidence from the East German Transition to Capitalism," Health, Econometrics and Data Group (HEDG) Working Papers 15/28, HEDG, c/o Department of Economics, University of York.
    3. Dragone, Davide & Ziebarth, Nicolas R., 2015. "Economic Development, Novelty Consumption, and Body Weight: Evidence from the East German Transition to Capitalism," IZA Discussion Papers 8967, Institute for the Study of Labor (IZA).
    4. Bertoni, Marco, 2015. "Hungry today, unhappy tomorrow? Childhood hunger and subjective wellbeing later in life," Journal of Health Economics, Elsevier, vol. 40(C), pages 40-53.

    More about this item

    Keywords

    health; panel data; business cycle; long-run effects; functional limitations; bereavement; chronic diseases;

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination

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