Job loss, firm-level heterogeneity and mortality: Evidence from administrative data

Hans Bloemen, Stefan Hochguertel, Jochem Zweerink*

*Corresponding author for this work

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Abstract

This paper estimates the effect of job loss on mortality for older male workers with a strong labor force attachment. Using Dutch administrative data, we find that job loss due to firm closure increased the probability of death within five years by a sizable 0.60 percentage points. Importantly, this effect is estimated using a model that controls for firm-level worker characteristics, such as lagged firm-level annual average mortality rates. On the mechanism driving the effect of job loss on mortality, we provide evidence for an effect running through stress and changes in life style.

Original languageEnglish
Pages (from-to)78-90
Number of pages13
JournalJournal of Health Economics
Volume59
Early online date1 Apr 2018
DOIs
Publication statusPublished - May 2018

Keywords

  • Job loss
  • Mortality
  • Treatment effect

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