Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/222152
Authors: 
Bhai, Moiz
Year of Publication: 
2020
Citation: 
[Journal:] IZA Journal of Labor Economics [ISSN:] 2193-8997 [Volume:] 9 [Year:] 2020 [Issue:] 1 [Pages:] 1-21
Abstract: 
Using within-family variation from twins and siblings, I find that smokers earn approximately 16% less than nonsmokers. Possible explanations for this earning difference are addiction-related productivity declines and earning reductions from higher health insurance costs. To investigate further, I use variation in the provision of employer-supplied health insurance (ESHI) to examine the mechanism of whether the addiction or insurance component has a larger influence on earnings. While I generally observe a larger earning penalty for smokers with ESHI than smokers without ESHI, the earning difference is statistically indistinguishable from zero.
Subjects: 
twins
compensating differentials
smoking
incidence of smoking
employer-supplied health insurance
JEL: 
I12
I13
J31
Persistent Identifier of the first edition: 
Creative Commons License: 
https://creativecommons.org/licenses/by/4.0/
Document Type: 
Article

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