IDEAS home Printed from https://ideas.repec.org/a/wly/hlthec/v19y2010i3p334-349.html
   My bibliography  Save this article

Does income‐related health inequality change as the population ages? Evidence from Swedish panel data

Author

Listed:
  • M. Kamrul Islam
  • Ulf‐G. Gerdtham
  • Philip Clarke
  • Kristina Burström

Abstract

This paper explains and empirically assesses the channels through which population aging may impact on income‐related health inequality. Long panel data of Swedish individuals is used to estimate the observed trend in income‐related health inequality, measured by the concentration index (CI). A decomposition procedure based on a fixed effects model is used to clarify the channels by which population aging affects health inequality. Based on current income rankings, we find that conventional unstandardized and age–gender‐standardized CIs increase over time. This trend in CIs is, however, found to remain stable when people are instead ranked according to lifetime (mean) income. Decomposition analyses show that two channels are responsible for the upward trend in unstandardized CIs – retired people dropped in relative income ranking and the coefficient of variation of health increases as the population ages. Copyright © 2009 John Wiley & Sons, Ltd.

Suggested Citation

  • M. Kamrul Islam & Ulf‐G. Gerdtham & Philip Clarke & Kristina Burström, 2010. "Does income‐related health inequality change as the population ages? Evidence from Swedish panel data," Health Economics, John Wiley & Sons, Ltd., vol. 19(3), pages 334-349, March.
  • Handle: RePEc:wly:hlthec:v:19:y:2010:i:3:p:334-349
    DOI: 10.1002/hec.1479
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/hec.1479
    Download Restriction: no

    File URL: https://libkey.io/10.1002/hec.1479?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Anne Case & Angus S. Deaton, 2005. "Broken Down by Work and Sex: How Our Health Declines," NBER Chapters, in: Analyses in the Economics of Aging, pages 185-212, National Bureau of Economic Research, Inc.
    2. Deaton, Angus S & Paxson, Christina H, 1998. "Aging and Inequality in Income and Health," American Economic Review, American Economic Association, vol. 88(2), pages 248-253, May.
    3. Paul Contoyannis & Andrew M. Jones & Nigel Rice, 2004. "The dynamics of health in the British Household Panel Survey," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 19(4), pages 473-503.
    4. van Doorslaer, Eddy & Wagstaff, Adam & Bleichrodt, Han & Calonge, Samuel & Gerdtham, Ulf-G. & Gerfin, Michael & Geurts, Jose & Gross, Lorna & Hakkinen, Unto & Leu, Robert E., 1997. "Income-related inequalities in health: some international comparisons," Journal of Health Economics, Elsevier, vol. 16(1), pages 93-112, February.
    5. Orazio P. Attanasio, 1998. "Cohort Analysis of Saving Behavior by U.S. Households," Journal of Human Resources, University of Wisconsin Press, vol. 33(3), pages 575-609.
    6. Gerdtham, Ulf-G. & Johannesson, Magnus, 2000. "Income-related inequality in life-years and quality-adjusted life-years," Journal of Health Economics, Elsevier, vol. 19(6), pages 1007-1026, November.
    7. Alessandro Sommacal, 2006. "Pension systems and intragenenerational redistribution when labor supply is endogenous," Oxford Economic Papers, Oxford University Press, vol. 58(3), pages 379-406, July.
    8. Verbeek, Marno & Nijman, Theo, 1992. "Testing for Selectivity Bias in Panel Data Models," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 33(3), pages 681-703, August.
    9. Gerdtham, Ulf-G & Johannesson, Magnus, 2002. "Do Life-Saving Regulations Save Lives?," Journal of Risk and Uncertainty, Springer, vol. 24(3), pages 231-249, May.
    10. Nijman, T.E. & Verbeek, M.J.C.M., 1992. "Testing for selectivity in panel data models," Other publications TiSEM 7ec34a6c-1d84-4052-971c-d, Tilburg University, School of Economics and Management.
    11. Milanovic, Branko, 1997. "A simple way to calculate the Gini coefficient, and some implications," Economics Letters, Elsevier, vol. 56(1), pages 45-49, September.
    12. Wagstaff, Adam & van Doorslaer, Eddy & Watanabe, Naoko, 2003. "On decomposing the causes of health sector inequalities with an application to malnutrition inequalities in Vietnam," Journal of Econometrics, Elsevier, vol. 112(1), pages 207-223, January.
    13. Wildman, John, 2003. "Income related inequalities in mental health in Great Britain: analysing the causes of health inequality over time," Journal of Health Economics, Elsevier, vol. 22(2), pages 295-312, March.
    14. Alessie, Rob & Kapteyn, Arie, 2001. "Savings and pensions in The Netherlands," Research in Economics, Elsevier, vol. 55(1), pages 61-82, March.
    15. Wagstaff, Adam & Paci, Pierella & van Doorslaer, Eddy, 1991. "On the measurement of inequalities in health," Social Science & Medicine, Elsevier, vol. 33(5), pages 545-557, January.
    16. Eddy van Doorslaer & Xander Koolman, 2004. "Explaining the differences in income‐related health inequalities across European countries," Health Economics, John Wiley & Sons, Ltd., vol. 13(7), pages 609-628, July.
    17. Ulf-G. Gerdtham & Douglas Lundin & Maria Sáez-Martí, 2005. "The ageing of society, health services provision and taxes," Journal of Population Economics, Springer;European Society for Population Economics, vol. 18(3), pages 519-537, September.
    18. Ronald Lee, 2003. "The Demographic Transition: Three Centuries of Fundamental Change," Journal of Economic Perspectives, American Economic Association, vol. 17(4), pages 167-190, Fall.
    19. David A. Wise, 2005. "Analyses in the Economics of Aging," NBER Books, National Bureau of Economic Research, Inc, number wise05-1.
    20. Hugh Gravelle, 2003. "Measuring income related inequality in health: standardisation and the partial concentration index," Health Economics, John Wiley & Sons, Ltd., vol. 12(10), pages 803-819, October.
    21. Kakwani, Nanak & Wagstaff, Adam & van Doorslaer, Eddy, 1997. "Socioeconomic inequalities in health: Measurement, computation, and statistical inference," Journal of Econometrics, Elsevier, vol. 77(1), pages 87-103, March.
    22. Burstrom, Kristina & Johannesson, Magnus & Diderichsen, Finn, 2001. "Health-related quality of life by disease and socio-economic group in the general population in Sweden," Health Policy, Elsevier, vol. 55(1), pages 51-69, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. van Kippersluis, Hans & Van Ourti, Tom & O'Donnell, Owen & van Doorslaer, Eddy, 2009. "Health and income across the life cycle and generations in Europe," Journal of Health Economics, Elsevier, vol. 28(4), pages 818-830, July.
    2. Petrie, Dennis & Allanson, Paul & Gerdtham, Ulf-G., 2011. "Accounting for the dead in the longitudinal analysis of income-related health inequalities," Journal of Health Economics, Elsevier, vol. 30(5), pages 1113-1123.
    3. Nordin, Martin & Dackehag, Margareta & Gerdtham, Ulf-G., 2013. "Socioeconomic inequalities in drug utilization for Sweden: Evidence from linked survey and register data," Social Science & Medicine, Elsevier, vol. 77(C), pages 106-117.
    4. Simon Appleton & Jinying Huang & Xuyan Lou & Minghai Zhou, 2024. "Money and mental health: The impact of intergenerational transfers on elderly people in China," Health Economics, John Wiley & Sons, Ltd., vol. 33(11), pages 2645-2670, November.
    5. Joan Costa-Font & Cristina Hernandez-Quevedo & Azusa Sato, 2018. "A Health ‘Kuznets’ Curve’? Cross-Sectional and Longitudinal Evidence on Concentration Indices’," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 136(2), pages 439-452, April.
    6. Gerdtham, Ulf-G & Lundborg, Petter & Lyttkens, Carl Hampus & Nystedt, Paul, 2012. "Do Socioeconomic Factors Really Explain Income-Related Inequalities in Health? Applying a Twin Design to Standard Decomposition Analysis," Working Papers 2012:21, Lund University, Department of Economics.
    7. Mosquera, Paola A. & San Sebastian, Miguel & Waenerlund, Anna-Karin & Ivarsson, Anneli & Weinehall, Lars & Gustafsson, Per E., 2016. "Income-related inequalities in cardiovascular disease from mid-life to old age in a Northern Swedish cohort: A decomposition analysis," Social Science & Medicine, Elsevier, vol. 149(C), pages 135-144.
    8. Guillem López i Casasnovas & Marina Soley Bori, 2012. "The Economic Crisis and it Effects on the Social Determinants of Health," Hacienda Pública Española / Review of Public Economics, IEF, vol. 201(2), pages 113-132, June.
    9. Tinna Laufey Ásgeirsdóttir & Hildur Margrét Jóhannsdóttir, 2017. "Income-related inequalities in diseases and health conditions over the business cycle," Health Economics Review, Springer, vol. 7(1), pages 1-17, December.
    10. Noël Bonneuil, 2019. "Health Component of Inequalities Associated with Income Mobility Over the Life Cycle," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(1), pages 391-411, January.
    11. Calara, Paul Samuel & Gerdtham, Ulf-G & Petrie, Dennis, 2016. "The Dynamics of Income-Related Health Inequalities in Australia versus Great Britain," Working Papers 2016:20, Lund University, Department of Economics.
    12. Martin Siegel & Markus Luengen & Stephanie Stock, 2013. "On age-specific variations in income-related inequalities in diabetes, hypertension and obesity," International Journal of Public Health, Springer;Swiss School of Public Health (SSPH+), vol. 58(1), pages 33-41, February.
    13. Mototsugu Fukushige & Noriko Ishikawa & Satoko Maekawa, 2012. "A modified Kakwani measure for health inequality," Health Economics Review, Springer, vol. 2(1), pages 1-7, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Martin Siegel & Karl Mosler, 2014. "Semiparametric Modeling Of Age‐Specific Variations In Income Related Health Inequalities," Health Economics, John Wiley & Sons, Ltd., vol. 23(7), pages 870-878, July.
    2. Costa-Font, Joan & Hernández-Quevedo, Cristina, 2012. "Measuring inequalities in health: What do we know? What do we need to know?," Health Policy, Elsevier, vol. 106(2), pages 195-206.
    3. van Kippersluis, Hans & Van Ourti, Tom & O'Donnell, Owen & van Doorslaer, Eddy, 2009. "Health and income across the life cycle and generations in Europe," Journal of Health Economics, Elsevier, vol. 28(4), pages 818-830, July.
    4. Van Ourti, Tom & van Doorslaer, Eddy & Koolman, Xander, 2009. "The effect of income growth and inequality on health inequality: Theory and empirical evidence from the European Panel," Journal of Health Economics, Elsevier, vol. 28(3), pages 525-539, May.
    5. David Cantarero & Marta Pascual & Jose Maria Sarabia, 2004. "Can income inequality contribute to understand inequalities in health? An empirical approach based on the European Community Household Panel," ERSA conference papers ersa04p230, European Regional Science Association.
    6. Gerdtham, Ulf-G & Lundborg, Petter & Lyttkens, Carl Hampus & Nystedt, Paul, 2012. "Do Socioeconomic Factors Really Explain Income-Related Inequalities in Health? Applying a Twin Design to Standard Decomposition Analysis," Working Papers 2012:21, Lund University, Department of Economics.
    7. Andrew M. Jones & Xander Koolman & Nigel Rice, 2006. "Health‐related non‐response in the British Household Panel Survey and European Community Household Panel: using inverse‐probability‐weighted estimators in non‐linear models," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 169(3), pages 543-569, July.
    8. Van Ourti, Tom, 2003. "Socio-economic inequality in ill-health amongst the elderly: Should one use current or permanent income?," Journal of Health Economics, Elsevier, vol. 22(2), pages 219-241, March.
    9. Nesson, Erik T. & Robinson, Joshua J., 2019. "On the measurement of health and its effect on the measurement of health inequality," Economics & Human Biology, Elsevier, vol. 35(C), pages 207-221.
    10. Martin Siegel & Markus Luengen & Stephanie Stock, 2013. "On age-specific variations in income-related inequalities in diabetes, hypertension and obesity," International Journal of Public Health, Springer;Swiss School of Public Health (SSPH+), vol. 58(1), pages 33-41, February.
    11. Martins, Lurdes & Veiga, Paula, 2010. "Do inequalities in parents' education play an important role in PISA students' mathematics achievement test score disparities?," Economics of Education Review, Elsevier, vol. 29(6), pages 1016-1033, December.
    12. Kristina Burström & Magnus Johannesson & Finn Diderichsen, 2005. "Increasing socio‐economic inequalities in life expectancy and QALYs in Sweden 1980–1997," Health Economics, John Wiley & Sons, Ltd., vol. 14(8), pages 831-850, August.
    13. Nordin, Martin & Dackehag, Margareta & Gerdtham, Ulf-G., 2013. "Socioeconomic inequalities in drug utilization for Sweden: Evidence from linked survey and register data," Social Science & Medicine, Elsevier, vol. 77(C), pages 106-117.
    14. Hostenkamp, Gisela & Stolpe, Michael, 2008. "The social costs of health-related early retirement in Germany: Evidence from the German Socio-economic panel," Kiel Working Papers 1415, Kiel Institute for the World Economy (IfW Kiel).
    15. Andrew M. Jones & Angel López Nicolás, 2004. "Measurement and explanation of socioeconomic inequality in health with longitudinal data," Health Economics, John Wiley & Sons, Ltd., vol. 13(10), pages 1015-1030, October.
    16. Hendrik Jürges, 2009. "Healthy Minds In Healthy Bodies: An International Comparison Of Education‐Related Inequality In Physical Health Among Older Adults," Scottish Journal of Political Economy, Scottish Economic Society, vol. 56(3), pages 296-320, July.
    17. Costa Font, Joan & Hernández-Quevedo, Cristina & McGuire, Alistair, 2011. "Persistence despite action? Measuring the patterns of health inequality in England (1997–2007)," Health Policy, Elsevier, vol. 103(2), pages 149-159.
    18. FLEURBAEY, Marc & SCHOKKAERT, Erik, 2011. "Equity in health and health care," LIDAM Discussion Papers CORE 2011026, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    19. van Kippersluis, Hans & O'Donnell, Owen & van Doorslaer, Eddy & Van Ourti, Tom, 2010. "Socioeconomic differences in health over the life cycle in an Egalitarian country," Social Science & Medicine, Elsevier, vol. 70(3), pages 428-438, February.
    20. Bénédicte H. Apouey, 2010. "On Measuring And Explaining Socioeconomic Polarization In Health With An Application To French Data," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 56(1), pages 141-170, March.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:hlthec:v:19:y:2010:i:3:p:334-349. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www3.interscience.wiley.com/cgi-bin/jhome/5749 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.