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An econometric analysis of the mental-health effects of major events in the life of older individuals

Research output: Contribution to journalArticle

Original languageEnglish
Pages (from-to)505-520
Number of pages16
JournalHealth Economics
Volume11
Issue number6
DOIs
DatePublished - Sep 2002

Abstract

Major events in the life of an older individual, such as retirement, a significant decrease in income, death of the spouse, disability, and a move to a nursing home, may affect the mental-health status of the individual. For example, the individual may enter a prolonged depression. We investigate this using unique longitudinal panel data that track labor market behavior, health status, and major life events, over time. To deal with endogenous aspects of these events we apply fixed effects estimation methods. We find some strikingly large effects of certain events on the occurrence of depression. We relate the results to the health care and labor market policy towards older individuals.

    Research areas

  • Care, Death, Depression, Disease, Endogeneity, Fixed effects, Health indicators, Income loss, Panel data, Retirement, Widowhood

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