The earnings effects of health and health-related activities: a panel data approach |
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| Authors: | Yuxi Xiao Haizheng Li |
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| Affiliation: | 1. School of Economics, Georgia Institute of Technology, Atlanta, GA 30332, USA;2. Center for Economics, Finance and Management Studies, Hunan University, Changsha, China |
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| Abstract: | We investigate the effects of health and health-related habits on earnings in China using panel data to control for unobserved heterogeneity related to individual traits and job characteristics. Health-related habits include smoking cigarettes, drinking tea, frequency of drinking alcohol and physical exercising. We find a significant and large impact of health status on earnings, controlling for schooling, experience and the unobserved individual heterogeneity and job heterogeneity. We also find that smoking has a strong negative effect on earnings net of health status, while the estimated effects of other health-related activities are statistically insignificant. |
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| Keywords: | health status health-related habits earnings China |
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