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The Impact of Parental Income and Education on Child Health. Further Evidence for England

  • Orla Doyle

    (Geary Institute, University College Dublin)

  • Colm Harmon

    (School of Economics & Geary Institute, University College Dublin)

  • Ian Walker

    (Department of Economics, University of Warwick, Coventry & Institute for Fiscal Studies, UK)

This paper investigates the robustness of recent findings on the effect of parental education and income on child health. We are particularly concerned about spurious correlation arising from the potential endogeneity of parental income and education. Using an instrumental variables approach, our results suggest that the parental income and education effects are generally larger than are suggested by the correlations observed in the data. Moreover, we find strong support for the causal effect of income being large for the poor, but small at the average level of income.

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File URL: http://www.ucd.ie/geary/static/publications/workingpapers/GearyWp200706.pdf
File Function: First version, 2007
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Paper provided by Geary Institute, University College Dublin in its series Working Papers with number 200706.

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Length: 33 pages
Date of creation: 01 Feb 2007
Date of revision:
Handle: RePEc:ucd:wpaper:200706
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  1. Colm Harmon & Hessel Oosterbeek & Ian Walker, 2003. "The Returns to Education: Microeconomics," Journal of Economic Surveys, Wiley Blackwell, vol. 17(2), pages 115-156, 04.
  2. 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.
  3. Arnaud Chevalier & Colm Harmon & Vincent O'Sullivan & Ian Walker, 2010. "The Impact of Parental Income and Education on the Schooling of their Children," Working Papers 201032, Geary Institute, University College Dublin.
  4. William N. Evans & Edward Montgomery, 1994. "Education and Health: Where There's Smoke There's an Instrument," NBER Working Papers 4949, National Bureau of Economic Research, Inc.
  5. Culyer, A. J. & Wagstaff, Adam, 1993. "Equity and equality in health and health care," Journal of Health Economics, Elsevier, vol. 12(4), pages 431-457, December.
  6. 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.
  7. Paul Frijters & John P. Haisken-DeNew & Michael Shields, 2003. "Estimating The Causal Effect of Income on Health: Evidence from Post Reunification East Germany," CEPR Discussion Papers 465, Centre for Economic Policy Research, Research School of Economics, Australian National University.
  8. Rosemary Hyson & Janet Currie, 1999. "Is the Impact of Health Shocks Cushioned by Socioeconomic Status? The Case of Low Birthweight," American Economic Review, American Economic Association, vol. 89(2), pages 245-250, May.
  9. Anne Case & Darren Lubotsky & Christina Paxson, 2002. "Economic status and health in childhood: the origins of the gradient," Working Papers 262, Princeton University, Woodrow Wilson School of Public and International Affairs, Center for Health and Wellbeing..
  10. Paul Contoyannis & Andrew M. Jones & Nigel Rice, 2004. "The dynamics of health in the British Household Panel Survey," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 19(4), pages 473-503.
  11. Doyle, Orla & Harmon, Colm P. & Walker, Ian, 2005. "The Impact of Parental Income and Education on the Health of their Children," IZA Discussion Papers 1832, Institute for the Study of Labor (IZA).
  12. Adams, Peter & Hurd, Michael D. & McFadden, Daniel & Merrill, Angela & Ribeiro, Tiago, 2003. "Healthy, wealthy, and wise? Tests for direct causal paths between health and socioeconomic status," Journal of Econometrics, Elsevier, vol. 112(1), pages 3-56, January.
  13. Imbens, Guido W & Angrist, Joshua D, 1994. "Identification and Estimation of Local Average Treatment Effects," Econometrica, Econometric Society, vol. 62(2), pages 467-75, March.
  14. Currie, Alison & Shields, Michael A. & Wheatley Price, Stephen, 2004. "Is the Child Health / Family Income Gradient Universal? Evidence from England," IZA Discussion Papers 1328, Institute for the Study of Labor (IZA).
  15. Harmon, Colm & Walker, Ian, 1995. "Estimates of the Economic Return to Schooling for the United Kingdom," American Economic Review, American Economic Association, vol. 85(5), pages 1278-86, December.
  16. Janet Currie, 2004. "Viewpoint: Child research comes of age," Canadian Journal of Economics, Canadian Economics Association, vol. 37(3), pages 509-527, August.
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