The Health Burden of Job Strain: Evidence from Europe
In: Ca' Foscari University of Venice, Department of Economics Research Paper Series No. 19/2023
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In: Ca' Foscari University of Venice, Department of Economics Research Paper Series No. 19/2023
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We investigate the happiness variations associated with divorce by drawing data from a retrospective panel dataset based on the third wave of the Survey of Health, Ageing and Retirement in Europe (SHARE) and covering 14 European countries. This dataset proposes as a powerful tool to control for reporting style heterogeneity in happiness self-evaluations. Indeed, in addition to individual fixed-effects, we control for full migration trajectories in order to remove bias in well-being evaluations produced by cross-country heterogeneity in the cultural norms and societal values individuals have been exposed during their life-cycle. Happiness is found to increase in the period after divorce for both men and women. We show that this pattern goes through a decrease in stress and financial hardship.
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Life-history data can clarify the consequences of household split and divorce on the probability of working. Indeed, employment choices are affected by the occurrence of family dissolution episodes. The effect is stronger for women. The magnitude of this effect increases with the presence of children.
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In: De Nederlandsche Bank Working Paper No. 638, May 2019
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In this paper, we study how elderly individuals adjust their informal long-term care utilization to changes in the provision of formal care. Despite this is crucial to design effective policies of formal elderly care, empirical evidence is scant due to the lack of credible identification strategies to account for the endogeneity of formal care. We propose a novel instrument, an index that captures individuals' eligibility status for the long-term care programs implemented in the region of residence. Our estimates, which are robust to a number of different specifications, suggest that higher formal care provision would lead to an increase in informal care utilization as well. In the context of current theoretical economic model of care use, this result points to the existence of a substantial unmet demand of care among older people in Europe.
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In: University Ca' Foscari of Venice, Dept. of Economics Research Paper Series No. 26/WP/2017
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Working paper
Public programs that benefit older individuals, such as Social Security, may be changed in the future in ways that reflect an expectation of longer work lives. But do older Italians have the health capacity to work longer? This paper explores this question by asking how much older individuals could work if they worked as much as those with the same mortality rate in the past or as much as their younger counterparts in similar health. Using both methods, we estimate that there is significant additional capacity to work at older ages. We also explore whether there are differences in health capacity across education groups and whether health has improved more over time for the highly educated, using education quartiles to surmount the challenge of changing levels of education over time.
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This paper investigates the timing of wealth transfers between generations. We develop an overlapping generations model in which each generation can borrow against its future income but not against expected bequest. As a result, generations relatively poorer than their parents may end up not smoothing consumption. We prove that if wealth transfers can take place earlier in life, then each generation smooths consumption despite the constraint on borrowing and the first best solution is restored. The model implies that parents transfer resources when the children are credit constrained. This implication is tested using Dutch survey data on households' intentions to make intervivos transfers matched with administrative data that allow to construct a measure of the probability of being in need of a transfer. All in all, the paper highlights the importance of intervivos transfers as a device that households can resort to in order to mitigate inter--generational wealth inequalities.
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In the context of an unprecedented aging process, the role of domiciliary care for older adults is becoming increasingly essential. In order to design effective and proactive policies of formal elderly-care, it is crucial to understand how vulnerable elderly individuals would adjust their informal long-term care utilization to changes in the formal-care provision. Although theoretical frameworks have been proposed, showing that a positive relationship could arise when the elderly exhibit an excess demand of care, empirical evidence is scant, due to the lack of credible instruments to account for the endogenous nature of formal-care decisions. We propose a novel instrument, an index that capture individuals' eligibility status to the LTC domiciliary programmes implemented in their own nation or region. That is, a dummy variable - being eligible or not - which is grounded on the LTC regulation context at national or regional level, but still has individual within region variation due to differences in health conditions and vulnerability assessment. We estimate an IV two-part model using a representative sample of the over 60 population for non-institutionalised individuals in Austria, Germany, France and Belgium. Our results, which are robust to a number of different specifications, point at the lack of crowding-out of the informalby the formal-care, thus suggesting the existence of a substantial unmet demand of LTC among the elderly.
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In: The Individual and the Welfare State, S. 151-159
In: The Individual and the Welfare State, S. 67-80
We analyze a model of price competition á la Bertrand in a network environment. Firms only have a limited information on the structure of network: they know the number of potential customers they can attract and the degree distribution of customers. This incomplete information framework stimulates the use of Bayesian-Nash equilibrium. We find that, if there are customers only linked to one firm, but not all of them are, then an equilibrium in randomized strategies fails to exist. Instead, we find a symmetric equilibrium in randomized strategies. Finally, we test our results on US gasoline data. We find empirical evidence consistent with firms playing random strategies.
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