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The Effect of Household Earnings on Child School Mental Health Designations: Evidence from Administrative Data

Author

Listed:
  • Jones, Lauren
  • Stabile, Mark
  • Koebel, Kourtney
  • Furzer, Jill

Abstract

We investigate the impact of household earnings shocks on in-school mental health designations in the context of the Great Recession using a unique data set of linked administrative educational and tax data, and propensity score matching. Relative to children who did not experience recessionary earnings losses, the rate of new mental health designations among children with earnings losses was 0.5 percentage points higher (20 percent) during the recession. The effect of experiencing a recessionary earnings loss is persistent and grows, especially among children who experienced the loss when they were aged 10 or younger.

Suggested Citation

  • Jones, Lauren & Stabile, Mark & Koebel, Kourtney & Furzer, Jill, 2023. "The Effect of Household Earnings on Child School Mental Health Designations: Evidence from Administrative Data," CEPR Discussion Papers 18369, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:18369
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    1. Janet Currie, 2009. "Healthy, Wealthy, and Wise: Socioeconomic Status, Poor Health in Childhood, and Human Capital Development," Journal of Economic Literature, American Economic Association, vol. 47(1), pages 87-122, March.
    2. Chad Cotti & David Simon, 2018. "The Impact Of Stock Market Fluctuations On The Mental And Physical Well‐Being Of Children," Economic Inquiry, Western Economic Association International, vol. 56(2), pages 1007-1027, April.
    3. Marianne Page & Jessamyn Schaller & David Simon, 2019. "The Effects of Aggregate and Gender-Specific Labor Demand Shocks on Child Health," Journal of Human Resources, University of Wisconsin Press, vol. 54(1), pages 37-78.
    4. Ezra Golberstein & Gilbert Gonzales & Ellen Meara, 2019. "How do economic downturns affect the mental health of children? Evidence from the National Health Interview Survey," Health Economics, John Wiley & Sons, Ltd., vol. 28(8), pages 955-970, August.
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    More about this item

    Keywords

    Schools;

    JEL classification:

    • I1 - Health, Education, and Welfare - - Health
    • I2 - Health, Education, and Welfare - - Education

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