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Health and Work in the Family: Evidence from Spouses? Cancer Diagnoses

Author

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  • Pohl, R. Vincent
  • Jeon, Sung Hee

Abstract

Changes in health status may affect not just the individuals who experience such changes, but also their family members. For example, if the main earner in a family loses his or her ability to generate income due to a health shock, it invariably affects the financial situation of the spouse and other dependents. In addition, spouses and working-age children may themselves increase or reduce their labour supply to make up for the lost income (?added worker effect?) or care for a sick family member (?caregiver effect?). Since consumption smoothing and self-insurance occur at the household level, the financial effects of health for other family members have important policy implications. To shed light on such effects, this study analyzes how one spouse?s cancer diagnosis affects the employment and earnings of the other spouse and (before-tax) total family income using administrative data from Canada.

Suggested Citation

  • Pohl, R. Vincent & Jeon, Sung Hee, 2016. "Health and Work in the Family: Evidence from Spouses? Cancer Diagnoses," Analytical Studies Branch Research Paper Series 2016381e, Statistics Canada, Analytical Studies Branch.
    • Handle: RePEc:stc:stcp3e:2016381e
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    File URL: https://www150.statcan.gc.ca/n1/en/catalogue/11F0019M2016381
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    Cited by:

    1. Kokot, Johanna, 2017. "Does a spouse's health shock influence the partner's risk attitudes?," Ruhr Economic Papers 707, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.

    More about this item

    Keywords

    Diseases and health conditions; Health; Labour; Wages; salaries and other earnings;
    All these keywords.

    JEL classification:

    • I10 - Health, Education, and Welfare - - Health - - - General
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • J17 - Labor and Demographic Economics - - Demographic Economics - - - Value of Life; Foregone Income
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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