Controlling for endogeneity in the health-socioeconomic status relationship of the near retired

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Abstract

Although there is a strong correlation between health and socioeconomic status (SES), the direction of causation is not empirically clear. This study a uses a two stage methodology to control for endogeneity. Using data from the U.S. Health and Retirement Study, the results show that after controlling for endogeneity, labor force status turns out to be an even more important factor in determining health than in the case where endogeneity is not controlled for. In particular, unemployment generates much higher odds for worse health as measured by both subjective and objective health measures.
Original languageEnglish
Pages (from-to)977-987
Number of pages11
JournalJournal of Socio-Economics
Volume38
Issue number6
Early online date6 Aug 2009
DOIs
Publication statusPublished - 1 Dec 2009

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Keywords

  • socioeconomic status
  • subjective and objective health measures
  • endogeneity
  • labor force studies

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