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Some microeconometric evidence on the relationship between health and income

Amélie Adeline and Eric Delattre ()
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Eric Delattre: Université de Cergy-Pontoise, THEMA

No 2017-01, THEMA Working Papers from THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise

Abstract: Income-related health inequalities have gained much attention. Using the Survey of Health, Ageing and Retirement in Europe (SHARE), this paper tests three hypotheses concerning the link between health, income and income inequalities. The Absolute Income Hypothesis states that income has a positive and concave effect on health. The second hypothesis, the strong version of Income Inequality Hypothesis, states that income inequalities affect all members in a society equivalently. The last one is the weak version of Income Inequality Hypothesis which assumes that income inequalities may hurt the health of only the least well off in a society. Results show strong evidence for the three hypotheses on the self-perceived health status, a subjective measure, using a set of income inequalities indexes and robust methods to consider the subjective nature of this health measure.

Keywords: Health inequalities; income inequalities; self-reported health; Europe. (search for similar items in EconPapers)
JEL-codes: I14 D31 (search for similar items in EconPapers)
Date: 2017
New Economics Papers: this item is included in nep-eur and nep-hea
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