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Health and Work in the Family: Evidence from Spouses? Cancer Diagnoses

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  • Pohl, R. Vincent
  • Jeon, Sung Hee

Abstract

Changes in health status may affect not just the individuals who experience such changes, but also their family members. For example, if the main earner in a family loses his or her ability to generate income due to a health shock, it invariably affects the financial situation of the spouse and other dependents. In addition, spouses and working-age children may themselves increase or reduce their labour supply to make up for the lost income (?added worker effect?) or care for a sick family member (?caregiver effect?). Since consumption smoothing and self-insurance occur at the household level, the financial effects of health for other family members have important policy implications. To shed light on such effects, this study analyzes how one spouse?s cancer diagnosis affects the employment and earnings of the other spouse and (before-tax) total family income using administrative data from Canada.

Suggested Citation

  • Pohl, R. Vincent & Jeon, Sung Hee, 2016. "Health and Work in the Family: Evidence from Spouses? Cancer Diagnoses," Analytical Studies Branch Research Paper Series 2016381e, Statistics Canada, Analytical Studies Branch.
  • Handle: RePEc:stc:stcp3e:2016381e
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    References listed on IDEAS

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    Cited by:

    1. Rellstab, Sara & Bakx, Pieter & García-Gómez, Pilar & van Doorslaer, Eddy, 2020. "The kids are alright - labour market effects of unexpected parental hospitalisations in the Netherlands," Journal of Health Economics, Elsevier, vol. 69(C).
    2. Jeon, Sung-Hee & Pohl, R. Vincent, 2019. "Medical innovation, education, and labor market outcomes of cancer patients," Journal of Health Economics, Elsevier, vol. 68(C).
    3. Wolfgang Frimmel & Martin Halla & Joerg Paetzold & Julia Schmieder, 2020. "Health of Elderly Parents, their Children's Labor Supply, and the Role of Migrant Care Workers," Economics working papers 2020-18, Department of Economics, Johannes Kepler University Linz, Austria.
    4. Leduc, Elisabeth & Tojerow, Ilan, 2020. "Subsidizing Domestic Services as a Tool to Fight Unemployment: Effectiveness and Hidden Costs," IZA Discussion Papers 13544, Institute of Labor Economics (IZA).
    5. Thomas Barnay & Emmanuel Duguet & Christine Le Clainche, 2019. "The Effects of Breast Cancer on Individual Labour Market Outcomes: An Evaluation from an Administrative Panel in France," Annals of Economics and Statistics, GENES, issue 136, pages 103-126.
    6. Sung-Hee Jeon & Vincent Pohl, 2019. "Medical Innovation, Education, and Labor Market Outcomes of Cancer Patients," Upjohn Working Papers and Journal Articles 19-306, W.E. Upjohn Institute for Employment Research.
    7. Rennane, Stephanie, 2020. "A double safety net? Understanding interactions between disability benefits, formal assistance, and family support," Journal of Health Economics, Elsevier, vol. 69(C).
    8. Amanda Gaulke, 2021. "Individual and family labor market impacts of chronic diseases," IZA World of Labor, Institute of Labor Economics (IZA), pages 482-482, January.
    9. Z.V. Kambourova & W.H.J. Hassink, 2019. "Husband’s labour supply after a breast cancer diagnosis," Working Papers 19-10, Utrecht School of Economics.
    10. Lee, Siha, 2020. "Household responses to disability shocks: Spousal labor supply, caregiving, and disability insurance," CLEF Working Paper Series 21, Canadian Labour Economics Forum (CLEF), University of Waterloo.
    11. Siha Lee, 2020. "Spousal Labor Supply, Caregiving, and the Value of Disability Insurance," Department of Economics Working Papers 2020-08, McMaster University.
    12. Kokot, Johanna, 2017. "Does a spouse's health shock influence the partner's risk attitudes?," Ruhr Economic Papers 707, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.

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    More about this item

    Keywords

    Diseases and health conditions; Health; Labour; Wages; salaries and other earnings;
    All these keywords.

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • J17 - Labor and Demographic Economics - - Demographic Economics - - - Value of Life; Foregone Income
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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