Abstract:
:This paper empirically investigates the long-run effects of major health improvements on income growth in the United States. To isolate exogenous changes in health, the econometric model uses quasi-experimental variation in cardiovascular disease mortality across states over time. Based on data for the white population, the results show that there is a causal link between health and income per person, and they provide novel evidence that health dynamics shape life-cycle incomes. Life-cycle income profiles slope more strongly at the beginning and at the end of work life in 2000 than in 1960, indicating that age becomes a more prominent determinant of income dynamics over this period. The channels for this transformation include better health, higher educational attainment, and changing labor supply.
journal_name
J Health Econjournal_title
Journal of health economicsauthors
Kotschy Rdoi
10.1016/j.jhealeco.2020.102398subject
Has Abstractpub_date
2021-01-01 00:00:00pages
102398eissn
0167-6296issn
1879-1646pii
S0167-6296(20)31044-4journal_volume
75pub_type
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