Dollars and pounds: the impact of family income on childhood weight

This article examines the impact of family income on childhood weight status for children in the United States using matched mother-child data from the National Longitudinal Survey of Youth (NLSY 79). Instrumental variable (IV) models, family Fixed Effects (FE) models and family Fixed Effects IV (FEIV) models are estimated in order to control for causality. The results suggest that although the prevalence of childhood obesity is higher in low-income families in the sample, family income might be acting primarily as a proxy for other unobserved characteristics that determine the child's weight status rather having a major direct causative role in determining the child's weight status.