Health Capital and Human Capital as Explanations for Health-Related Wage Disparities

Gilleskie, Donna B.; & Hoffman, Denise. (2014). Health Capital and Human Capital as Explanations for Health-Related Wage Disparities. Journal of Human Capital, 8(3), 235-79.

Gilleskie, Donna B.; & Hoffman, Denise. (2014). Health Capital and Human Capital as Explanations for Health-Related Wage Disparities. Journal of Human Capital, 8(3), 235-79.

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We use a dynamic modeling strategy to evaluate two potential avenues through which health differences generate a wage gap: directly through reductions in health capital and indirectly through employment transitions that reduce human capital (specifically, occupation and employer tenure). Our results suggest that male workers with a moderate disability are 23 percent more likely to change occupations or employers than nondisabled men. Compared to those who do not make a transition, workers with a moderate disability who change occupations and employers experience an immediate $0.30 decline in hourly wages on top of a $0.57 decline associated with the disability onset.


Population Movement, Diversity, Inequality
1C
2d


JOUR



Gilleskie, Donna B.
Hoffman, Denise



2014


Journal of Human Capital

8

3

235-79










8354

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