Health responses to a wealth shock: Evidence from a Swedish tax reform

Oscar Erixson

No 2014:3, Working Paper Series, Center for Fiscal Studies from Uppsala University, Department of Economics

Abstract: This essay contributes in two ways to the literature on the effects of economic circumstances on health. First, it deals with reverse causality and omitted variable bias by exploiting exogenous variation in inherited wealth generated by the unexpected repeal of the Swedish inheritance tax. Second, it analyzes responses in health outcomes from administrative registers. The results show that increased wealth has limited impacts on objective adult health over a period of six years. This is in line with what has been documented previously regarding subjective health outcomes. If anything, it appears as if the wealth shock resulting from the tax reform leads people to seek care for symptoms of disease, which result in that cancer is detected and possibly treated earlier. One possible explanation for this preventive response is that good health is needed for enjoying the improved consumption prospects generated by the wealth shock.

Keywords: inheritances; tax reform; wealth shock; objective health (search for similar items in EconPapers)
JEL-codes: D10 H30 I10 I12 I14 (search for similar items in EconPapers)
Pages: 44 pages
Date: 2014-02-28
New Economics Papers: this item is included in nep-eur, nep-hea and nep-pbe
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://ucfs.nek.uu.se/digitalAssets/216/216477_20143.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://ucfs.nek.uu.se/digitalAssets/216/216477_20143.pdf [301 Moved Permanently]--> https://ucfs.nek.uu.se/digitalAssets/216/216477_20143.pdf [301 Moved Permanently]--> https://www.uu.se/institution/nationalekonomiska/forskning/forskningscentrum/uppsala-center-for-fiscal-studies/digitalAssets/216/216477_20143.pdf)

Related works:
Journal Article: Health responses to a wealth shock: evidence from a Swedish tax reform (2017)
Working Paper: Health Responses to a Wealth Shock: Evidence from a Swedish Tax Reform (2014)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hhs:uufswp:2014_003

Access Statistics for this paper

More papers in Working Paper Series, Center for Fiscal Studies from Uppsala University, Department of Economics Department of Economics, Uppsala University, P. O. Box 513, SE-751 20 Uppsala, Sweden. Contact information at EDIRC.
Bibliographic data for series maintained by Katarina Grönvall ( this e-mail address is bad, please contact ).