Some microeconometric evidence on the relationship between health and income

Abstract

This paper examines the association between income, income inequalities and health inequalities in Europe. The contribution of this paper is to study different hypotheses linking self-perceived health status and income, allowing for the identification of different mechanisms in income-related health inequalities. Using data from the Survey of Health, Ageing and Retirement in Europe (15 countries), we take the advantage of the cross-sectional and longitudinal nature of this rich database to make robust results. The analyses (coefficient estimates as well as average marginal effects) strongly support two hypotheses by showing that (i) income has a positive and concave effect on health (Absolute Income Hypothesis); (ii) income inequalities in a country affect all members in a society (strong version of the Income Inequality Hypothesis). However, our study suggests that, when considering the position of the individual in the income distribution, as well as the interaction between income inequalities and these rankings, one cannot identify individuals the most affected by income inequalities (which should be the least well-off in a society according to the weak version of the Income Inequality Hypothesis). Finally, the robustness of this study is emphasized when implementing a generalized ordered probit to consider the subjective nature of the self-perceived health status to avoid the traps encountered in previous studies.

Pensions and Depressive Symptoms of Older Adults in China: The Mediating Role of Intergenerational Support

“…It is particularly true for those in low-and middle-income countries [ 23 ]. Pensions are generally viewed as one of the sources of pooled income, which could protect the mental health of the older adults by securing their ability to obtain and utilize resources or decrease income inequality [ 24 , 25 ]. As an important formal social support, empirical studies have shown that the income from pensions plays an important role in their mental health across the world.…”

Retirement, Pensions, and Depressive Symptoms Among Older Adults in China, England, Mexico, and the United States

“…Pensions were viewed as one of the sources of income by default. It is generally agreed that incomes could protect older adults’ health by securing their capacity to access and utilize resources (Kahn & Pearlin, 2006; Litwin & Meir, 2013; Litwin & Sapir, 2009), and income inequality in a society could exert influences on individuals (Adeline & Delattre, 2017).…”

In search of China’s income-health gradient: a biomarker-based analysis

“…The existence of an income-health gradient is well established in the health economics literature, with the common finding that a higher income is linked to better health in Europe, the US, and elsewhere in the developed world (Adda et al, 2009;Adeline and Delattre, 2017;Apouey and Clark, 2014;Benzeval and Judge, 2001;Benzeval et al, 2000;Carrieri and Jones, 2017;Deaton and Paxson, 1998;Davillas et al, 2017b;Ettner, 1996;Frijters et al, 2005;Jones and Wildman, 2008;Lindahl, 2005). The underlying logic is that more income provides more avenues to better health, including better nutrition, improved access to health care, more opportunities for physical activity, more public safety, and lower environmental risk (Evans et al, 2012).…”