IDEAS home Printed from https://ideas.repec.org/a/wly/hlthec/v32y2023i8p1749-1766.html
   My bibliography  Save this article

Childhood‐onset disabilities and lifetime earnings growth: A longitudinal analysis

Author

Listed:
  • Sung‐Hee Jeon
  • Jungwee Park
  • Dafna Kohen

Abstract

This study offers insights into lifetime earnings growth differences between individuals with and without childhood‐onset disabilities (COD) defined as disabilities whose onset occurred before an individual's 16th birthday. We use a newly available database linking data from the 2017 Canadian Survey of Disability with individual income tax records covering a period of over 3 decades. We estimate the average earnings growth profiles of individuals with COD from the age when individuals generally enter the labor market to the age when most retire. The main finding of our study is that individuals with COD experience very little earnings growth when they are in their mid‐30 and 40s while the earnings of those without COD grow steadily until they reach their late 40s and early 50s. The largest earnings growth differences between individuals with and without COD are observed for male university graduates.

Suggested Citation

  • Sung‐Hee Jeon & Jungwee Park & Dafna Kohen, 2023. "Childhood‐onset disabilities and lifetime earnings growth: A longitudinal analysis," Health Economics, John Wiley & Sons, Ltd., vol. 32(8), pages 1749-1766, August.
  • Handle: RePEc:wly:hlthec:v:32:y:2023:i:8:p:1749-1766
    DOI: 10.1002/hec.4687
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/hec.4687
    Download Restriction: no

    File URL: https://libkey.io/10.1002/hec.4687?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. James P. Smith, 2009. "The Impact of Childhood Health on Adult Labor Market Outcomes," The Review of Economics and Statistics, MIT Press, vol. 91(3), pages 478-489, August.
    2. James Smith, 2009. "Reconstructing childhood health histories," Demography, Springer;Population Association of America (PAA), vol. 46(2), pages 387-403, May.
    3. Zvi Eckstein & Suqin Ge & Barbara Petrongolo, 2011. "Job and wage mobility with minimum wages and imperfect compliance," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 26(4), pages 580-612, June.
    4. Sandra E. Black & Paul J. Devereux & Kjell G. Salvanes, 2007. "From the Cradle to the Labor Market? The Effect of Birth Weight on Adult Outcomes," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(1), pages 409-439.
    5. Christian Dustmann & Costas Meghir, 2005. "Wages, Experience and Seniority," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 72(1), pages 77-108.
    6. Gensowski, Miriam & Nielsen, Torben Heien & Nielsen, Nete Munk & Rossin-Slater, Maya & Wüst, Miriam, 2019. "Childhood health shocks, comparative advantage, and long-term outcomes: Evidence from the last Danish polio epidemic," Journal of Health Economics, Elsevier, vol. 66(C), pages 27-36.
    7. David Card & Ana Rute Cardoso & Patrick Kline, 2016. "Bargaining, Sorting, and the Gender Wage Gap: Quantifying the Impact of Firms on the Relative Pay of Women," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 131(2), pages 633-686.
    8. Jason M. Fletcher, 2014. "The Effects Of Childhood Adhd On Adult Labor Market Outcomes," Health Economics, John Wiley & Sons, Ltd., vol. 23(2), pages 159-181, February.
    9. Manuel Flores & Adriaan Kalwij, 2014. "The associations between early life circumstances and later life health and employment in Europe," Empirical Economics, Springer, vol. 47(4), pages 1251-1282, December.
    10. Kjellsson, Gustav & Clarke, Philip & Gerdtham, Ulf-G., 2014. "Forgetting to remember or remembering to forget: A study of the recall period length in health care survey questions," Journal of Health Economics, Elsevier, vol. 35(C), pages 34-46.
    11. Joseph G. Altonji & Robert A. Shakotko, 1987. "Do Wages Rise with Job Seniority?," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 54(3), pages 437-459.
    12. Topel, Robert H, 1991. "Specific Capital, Mobility, and Wages: Wages Rise with Job Seniority," Journal of Political Economy, University of Chicago Press, vol. 99(1), pages 145-176, February.
    13. McCue, Kristin, 1996. "Promotions and Wage Growth," Journal of Labor Economics, University of Chicago Press, vol. 14(2), pages 175-209, April.
    14. Johnson Rucker C & Schoeni Robert F, 2011. "The Influence of Early-Life Events on Human Capital, Health Status, and Labor Market Outcomes Over the Life Course," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 11(3), pages 1-57, September.
    15. 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.
    16. Bas Klaauw & António Dias da Silva, 2011. "Wage dynamics and promotions inside and between firms," Journal of Population Economics, Springer;European Society for Population Economics, vol. 24(4), pages 1513-1548, October.
    17. Nikolay Angelov & Per Johansson & Erica Lindahl, 2016. "Parenthood and the Gender Gap in Pay," Journal of Labor Economics, University of Chicago Press, vol. 34(3), pages 545-579.
    18. Grossman, Michael, 1972. "On the Concept of Health Capital and the Demand for Health," Journal of Political Economy, University of Chicago Press, vol. 80(2), pages 223-255, March-Apr.
    19. Robert H. Topel & Michael P. Ward, 1992. "Job Mobility and the Careers of Young Men," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 107(2), pages 439-479.
    20. Chinhui Juhn & Kristin McCue, 2017. "Specialization Then and Now: Marriage, Children, and the Gender Earnings Gap across Cohorts," Journal of Economic Perspectives, American Economic Association, vol. 31(1), pages 183-204, Winter.
    21. Blackett, Adelle. & Sheppard, Colleen., 2003. "The links between collective bargaining and equality," ILO Working Papers 993687513402676, International Labour Organization.
    22. repec:ilo:ilowps:368751 is not listed on IDEAS
    23. repec:ucn:wpaper:10197/317 is not listed on IDEAS
    24. Manuel Flores & Pilar García-Gómez & Adriaan Kalwij, 2020. "Early life circumstances and labor market outcomes over the life cycle," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 18(4), pages 449-468, December.
    25. Persson, Sofie & Gerdtham, Ulf-G. & Steen Carlsson, Katarina, 2016. "Labor market consequences of childhood onset type 1 diabetes," Economics & Human Biology, Elsevier, vol. 23(C), pages 180-192.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Arellano-Bover, Jaime & Saltiel, Fernando, 2021. "Differences in On-the-Job Learning across Firms," IZA Discussion Papers 14473, Institute of Labor Economics (IZA).
    2. Anders Frederiksen & Timothy Halliday & Alexander K. Koch, 2016. "Within- and Cross-Firm Mobility and Earnings Growth," ILR Review, Cornell University, ILR School, vol. 69(2), pages 320-353, March.
    3. Almond, Douglas & Currie, Janet, 2011. "Human Capital Development before Age Five," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 4, chapter 15, pages 1315-1486, Elsevier.
    4. Frederiksen, Anders & Halliday, Timothy J. & Koch, Alexander K., 2010. "What Do We Work For? An Anatomy of Pre- and Post-Tax Earnings Growth," IZA Discussion Papers 5298, Institute of Labor Economics (IZA).
    5. Ghosh, Suman, 2007. "Job mobility and careers in firms," Labour Economics, Elsevier, vol. 14(3), pages 603-621, June.
    6. I. Sebastian Buhai & Miguel A. Portela & Coen N. Teulings & Aico van Vuuren, 2014. "Returns to Tenure or Seniority?," Econometrica, Econometric Society, vol. 82(2), pages 705-730, March.
    7. Philip Jung & Moritz Kuhn, 2019. "Earnings Losses and Labor Mobility Over the Life Cycle," Journal of the European Economic Association, European Economic Association, vol. 17(3), pages 678-724.
    8. Flèche, Sarah & Lekfuangfu, Warn N. & Clark, Andrew E., 2021. "The long-lasting effects of family and childhood on adult wellbeing: Evidence from British cohort data," Journal of Economic Behavior & Organization, Elsevier, vol. 181(C), pages 290-311.
    9. repec:eee:labchp:v:3:y:1999:i:pb:p:2373-2437 is not listed on IDEAS
    10. Michele Battisti, 2016. "Individual Wage Growth: The Role of Industry Experience," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 55(1), pages 40-70, January.
    11. Owen O'Donnell & Eddy Van Doorslaer & Tom Van Ourti, 2013. "Health and Inequality," Tinbergen Institute Discussion Papers 13-170/V, Tinbergen Institute.
    12. Jean-Marc Robin & Costas Meghir & Christian Dustmann & Jerome Adda, 2013. "Career Progression, Economic Downturns, and Skills," 2013 Meeting Papers 993, Society for Economic Dynamics.
    13. Yuda, Michio, 2020. "Childhood health and future outcomes: Evidence from panel surveys for the Japanese population," Japan and the World Economy, Elsevier, vol. 54(C).
    14. Jesper Bagger & Fran?ois Fontaine & Fabien Postel-Vinay & Jean-Marc Robin, 2014. "Tenure, Experience, Human Capital, and Wages: A Tractable Equilibrium Search Model of Wage Dynamics," American Economic Review, American Economic Association, vol. 104(6), pages 1551-1596, June.
    15. Bencsik, Panka & Halliday, Timothy J. & Mazumder, Bhashkar, 2023. "The intergenerational transmission of mental and physical health in the United Kingdom," Journal of Health Economics, Elsevier, vol. 92(C).
    16. Paul Sullivan, 2010. "A Dynamic Analysis Of Educational Attainment, Occupational Choices, And Job Search," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 51(1), pages 289-317, February.
    17. Ida Lovén & Katarina Steen Carlsson, 2017. "Early Onset of Type 1 Diabetes and Educational Field at Upper Secondary and University Level: Is Own Experience an Asset for a Health Care Career?," IJERPH, MDPI, vol. 14(7), pages 1-23, June.
    18. Paul Hek & Daniel Vuuren, 2011. "Are older workers overpaid? A literature review," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 18(4), pages 436-460, August.
    19. Moshe Buchinsky & Denis Fougère & Francis Kramarz & Rusty Tchernis, 2002. "Interfirm Mobility, Wages and the Returns to Seniority and Experience in the U.S," Working Papers 2002-29, Center for Research in Economics and Statistics.
    20. Carl Sanders & Christopher Taber, 2012. "Life-Cycle Wage Growth and Heterogeneous Human Capital," Annual Review of Economics, Annual Reviews, vol. 4(1), pages 399-425, July.
    21. Adda & Dustmann, 2004. "Career Progression and Formal versus on the Job Training," Econometric Society 2004 North American Winter Meetings 492, Econometric Society.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:hlthec:v:32:y:2023:i:8:p:1749-1766. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www3.interscience.wiley.com/cgi-bin/jhome/5749 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.