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Health shocks and spousal labor supply: An international perspective

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  • Jolly, Nicholas A.
  • Theodoropoulos, Nikolaos

Abstract

This paper uses data from the Survey of Health, Ageing and Retirement in Europe to analyze the effect of spousal health shocks on own labor supply decisions. Results from the analysis suggest minimal changes to the probability of work and the intensity of work for both husbands and wives of disabled spouses. Wives, however, do experience an increase in the probability of retirement after their husbands experience a work-limiting health shock. Results suggest that this increased probability is due to the desire to consume joint leisure. Finally, the analysis finds substantial cross-regional heterogeneity in the effect spousal health shocks have on the various labor market outcomes examined here, which suggests an important role for country-specific factors in the estimates provided in the earlier literature.

Suggested Citation

  • Jolly, Nicholas A. & Theodoropoulos, Nikolaos, 2022. "Health shocks and spousal labor supply: An international perspective," GLO Discussion Paper Series 1086, Global Labor Organization (GLO).
  • Handle: RePEc:zbw:glodps:1086
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    Cited by:

    1. Böckerman, Petri & Kortelainen, Mika & Salokangas, Henri & Vaalavuo, Maria, 2023. "Family Affair? Long-Term Economic and Mental Effects of Spousal Cancer," IZA Discussion Papers 16005, Institute of Labor Economics (IZA).
    2. Theodoropoulos, Nikolaos & Voucharas, Georgios, 2023. "Firm Closures and Labor Market Policies in Europe: Evidence from Retrospective Longitudinal Data," GLO Discussion Paper Series 1288, Global Labor Organization (GLO).

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    More about this item

    Keywords

    health shocks; marriage; labor supply;
    All these keywords.

    JEL classification:

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

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