Health shocks and spousal labor supply: an international perspective

Nicholas Jolly and Nikolaos Theodoropoulos

Journal of Population Economics, 2023, vol. 36, issue 2, No 14, 973-1004

Abstract: Abstract This paper uses data from the Survey of Health, Ageing, and Retirement in Europe to analyze the effect of spousal health shocks on own labor supply decisions. The results suggest minimal changes to the probability of work and the intensity of work for both husbands and wives of disabled spouses. Wives do, however, experience an increase in the probability of retirement after their husbands experience a work-limiting health shock. The results suggest that this increased probability is due to the desire to consume joint leisure. Finally, the analysis finds substantial cross-regional heterogeneity in the effects that spousal health shocks have on the various labor market outcomes examined here, which suggests an important role for country-specific factors in the estimates provided in the earlier literature.

Keywords: Health shocks; Marriage; Labor supply (search for similar items in EconPapers)
JEL-codes: I10 J12 J22 (search for similar items in EconPapers)
Date: 2023
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Citations: View citations in EconPapers (6)

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DOI: 10.1007/s00148-022-00929-7

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