Social Interaction and Sickness Absence
Stockholm University - Institute for International Economic Studies (IIES); CESifo (Center for Economic Studies and Ifo Institute for Economic Research); Research Institute of Industrial Economics (IFN)
Stockholm School of Economics - Department of Economic Statistics; Institute for the Study of Labor (IZA)
Stockholm University; CESifo (Center for Economic Studies and Ifo Institute for Economic Research)
CESifo Working Paper Series No. 2215
Does the average level of sickness absence in a neighborhood affect individual sickness absence through social interaction on the neighborhood level? To answer this question, we consider evidence of local benefit-dependency cultures. Well-known methodological problems in this type of analysis include avoiding the so-called reflection problem and disentangling the causal effects of group behavior on individual behavior from the effects of individual sorting on neighborhoods. Based on data from Sweden, we adopt several different approaches to deal with these problems. The results are robust in the sense that regardless of approach and identifying assumptions, we obtain statistically significant estimates indicating group effects.
Number of Pages in PDF File: 33
Keywords: sick-pay insurance, work absence, moral hazard, social norms
JEL Classification: H56, I38, J22, Z13working papers series
Date posted: February 12, 2008
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