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Author: Norton, Edward C.

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1.	Gilleskie, Donna B. Han, Euna Norton, Edward C.
1.	Disentangling the Contemporaneous and Dynamic Effects of Human and Health Capital on Wages over the Life Cycle NBER Working Paper No. 22430, National Bureau of Economic Research, July 2016. Also: http://www.nber.org/papers/w22430 Cohort(s): NLSY79 Publisher: National Bureau of Economic Research (NBER) Keyword(s): Body Mass Index (BMI); Human Capital; Life Cycle Research; Wage Determination; Wages, Women; Weight In this study we quantify the life-cycle effects of human and health capital on the wage distribution of females, with a focus on health measured by body mass. We use NLSY79 data on women followed annually up to twenty years during the time of their lives when average annual weight gain is greatest. We allow body mass to explain variation in wages contemporaneously conditional on observed measures of human capital and productivity histories (namely, education, employment experience, marital status, and family size) and dynamically over the life cycle through its impact on the endogenous histories of behaviors that determine wages. We find significant differences in the contemporaneous effect and the dynamic effect of body mass on wages, both across females of different races and over the distribution of wages.
	Bibliography Citation Gilleskie, Donna B., Euna Han and Edward C. Norton. "Disentangling the Contemporaneous and Dynamic Effects of Human and Health Capital on Wages over the Life Cycle." NBER Working Paper No. 22430, National Bureau of Economic Research, July 2016.

2.	Gilleskie, Donna B. Han, Euna Norton, Edward C.
2.	Disentangling the Contemporaneous and Dynamic Effects of Human and Health Capital on Wages over the Life Cycle Review of Economic Dynamics 25 (April 2017): 350-383. Also: http://www.sciencedirect.com/science/article/pii/S1094202517300418 Cohort(s): NLSY79 Publisher: Society for Economic Dynamics Keyword(s): Body Mass Index (BMI); Human Capital; Life Cycle Research; Wage Levels; Wage Penalty/Career Penalty; Wages, Women; Weight Permission to reprint the abstract has not been received from the publisher. We quantify the life-cycle effects of human and health capital on the wage distribution of women, with a focus on health capital measured by body mass. We use NLSY79 data on women followed annually up to twenty years during the time of their lives when average annual weight gain is greatest. We measure the wage impact of current body mass (i.e., the contemporaneous or direct effect) while controlling for observed measures of human capital (namely, educational attainment, employment experience, marital status tenure, and family size) and the impacts of an evolving body mass (i.e., the dynamic or indirect effects) on the endogenous histories of behaviors that produce these human capital stocks. We find significant differences in the contemporaneous and dynamic effects of body mass on wages by age, by race, and by wage level.
	Bibliography Citation Gilleskie, Donna B., Euna Han and Edward C. Norton. "Disentangling the Contemporaneous and Dynamic Effects of Human and Health Capital on Wages over the Life Cycle." Review of Economic Dynamics 25 (April 2017): 350-383.

3.	Gilleskie, Donna B. Han, Euna Norton, Edward C.
3.	Untangling the Direct and Indirect Effects of Body Mass Dynamics on Earnings Presented: Toronto, Ontario, 8th World Congress on Health Economics, July 2011 Cohort(s): NLSY79 Publisher: International Health Economics Association Keyword(s): Body Mass Index (BMI); Earnings; Modeling, Random Effects; Obesity; Wages, Women Permission to reprint the abstract has not been received from the publisher. In this study we aim to assess the effect of body mass on earnings. It has been shown that the body mass of white females is negatively correlated with wages (Cawley, 2004). We argue that this observed correlation may capture the influence of body mass on life-cycle decisions such as educational attainment, work experience, marital status, and fertility, which, in turn, determine wages. Similarly, these behaviors may impact body mass over the life cycle. Admittedly, body mass may still have an observed direct impact on wages if weight affects productivity on the job (which, in most data sets, is immeasurable) or if discrimination (also immeasurable) exists. To disentangle these direct and indirect effects we propose to model wages of individuals while jointly explaining accumulation of education and work experience, the decisions to work, to marry, and to have children, and the evolution of body mass over time. We use data from the National Longitudinal Survey of Youth (NLSY, 1979 cohort) and construct a research sample of individuals who are followed annually from the ages of 18-26 in 1983 through the ages of 37-45 in 2002. Because we model many individual decisions and outcomes e.g., education, employment, marriage, children, wages, and body mass) that are potentially correlated through unobserved permanent and time-varying individual characteristics, we use an estimation framework that simultaneously explains variation in the multiple behaviors by variation in both observed and unobserved factors. We model the unobserved factors using a discrete non-linear random effects method that does not require us to make assumptions about the distribution of these unobservables. Rather than simply recover the effect of body mass on the average wage, we estimate the density of wages conditional on observable and unobservable variables using the conditional density estimation technique.
	Bibliography Citation Gilleskie, Donna B., Euna Han and Edward C. Norton. "Untangling the Direct and Indirect Effects of Body Mass Dynamics on Earnings." Presented: Toronto, Ontario, 8th World Congress on Health Economics, July 2011.

4.	Han, Euna Norton, Edward C. Powell, Lisa M.
4.	Direct and Indirect Effects of Body Weight on Adult Wages Economics and Human Biology 9,4 (December 2011): 381-392. Also: http://www.sciencedirect.com/science/article/pii/S1570677X11000803 Cohort(s): NLSY79 Publisher: Elsevier Keyword(s): Body Mass Index (BMI); Education; Obesity; Occupational Choice; Wages Previous estimates of the association between body weight and wages in the literature have been conditional on education and occupation. In addition to the effect of current body weight status (body mass index (BMI) or obesity) on wages, this paper examines the indirect effect of body weight status in the late-teenage years on wages operating through education and occupation choice. Using the National Longitudinal Survey of Youth 1979 data, for women, we find that a one-unit increase in BMI is directly associated with 1.83% lower hourly wages whereas the indirect BMI wage penalty is not statistically significant. Neither a direct nor an indirect BMI wage penalty is found for men. However, results based on clinical weight classification reveal that the indirect wage penalty occurs to a larger extent at the upper tail of the BMI distribution for both men and women via the pathways of education and occupation outcomes. Late-teen obesity is indirectly associated with 3.5% lower hourly wages for both women and men. These results are important because they imply that the total effect of obesity on wages is significantly larger than has been estimated in previous cross-sectional studies.
	Bibliography Citation Han, Euna, Edward C. Norton and Lisa M. Powell. "Direct and Indirect Effects of Body Weight on Adult Wages." Economics and Human Biology 9,4 (December 2011): 381-392.

5.	Han, Euna Norton, Edward C. Powell, Lisa M.
5.	Direct and Indirect Effects of Teenage Body Weight on Adult Wages NBER Working Paper No. 15027, National Bureau of Economic Research, June 2009. Also: http://www.nber.org/papers/w15027.pdf Cohort(s): NLSY79 Publisher: National Bureau of Economic Research (NBER) Keyword(s): Body Mass Index (BMI); Teenagers; Wage Effects; Wages; Weight Previous estimates on the association between body weight and wages in the literature have been contingent on education and occupation. This paper examines the direct effect of BMI on wages and the indirect effects operating through education and occupation choice, particularly for late-teen BMI and adult wages. Using the National Longitudinal Survey of Youth 1979 data, we show that education is the main pathway for the indirect BMI wage penalty. The total BMI wage penalty is underestimated by 18% for women without including those indirect effects. Whereas for men there is no statistically significant direct BMI wage penalty, we do observe a small indirect wage penalty through education.
	Bibliography Citation Han, Euna, Edward C. Norton and Lisa M. Powell. "Direct and Indirect Effects of Teenage Body Weight on Adult Wages." NBER Working Paper No. 15027, National Bureau of Economic Research, June 2009.

6.	Han, Euna Norton, Edward C. Powell, Lisa M.
6.	Direct and Indirect Effects of Teenage Body Weight on Adult Wages Presented: Chicago, IL, Academy Health Annual Research Meeting, June 28-30, 2009 Cohort(s): NLSY79 Publisher: AcademyHealth Keyword(s): Body Mass Index (BMI); Education; Occupational Choice; Wage Effects Permission to reprint the abstract has not been received from the publisher. Research Objective: This paper examines the direct effect of BMI on wages and the indirect effects operating through education and occupation choice, particularly for late-teen BMI and adult wages. In addition to the direct effect of BMI in the late teenage years between age 16 and 20 on long-term wages in the early thirties, late teen BMI is hypothesized to also affect wages in the early thirties indirectly through its effect on education and occupation choice in the early thirties. Study Design: We present an empirical model that predicts wages as a function of BMI (the direct effect), education and occupation choice (indirect effects of BMI), and other factors. The effect of a unit change in late teen BMI on the logarithm of wages in the early career stage is the full derivative of the logarithm of wages in the early career with respect to late teen BMI, taking into account the indirect effect of late teen BMI through education and occupation choice in the early career. To calculate the indirect effects, we estimate the effect of late teen BMI on the stock of education accumulated by the time an individual reaches their early 30s using OLS. We specify education in the early thirties as a function of late teen BMI and other factors in the early thirties. We then estimate reduced form models of the effect of late teen BMI on occupation choice among white-collar, service, sales, managerial or professional specialty jobs, and blue-collar jobs (based on Census occupational codes), and choice of jobs requiring social interactions with colleagues or customers (based on the Dictionary of Occupation Titles).
	Bibliography Citation Han, Euna, Edward C. Norton and Lisa M. Powell. "Direct and Indirect Effects of Teenage Body Weight on Adult Wages." Presented: Chicago, IL, Academy Health Annual Research Meeting, June 28-30, 2009.

7.	Han, Euna Norton, Edward C. Stearns, Sally C.
7.	Weight and Wages: Fat Versus Lean Paychecks Health Economics 18,5 (May 2009): 535-548. Also: http://www3.interscience.wiley.com/journal/120846690/abstract Cohort(s): NLSY79 Publisher: Wiley Online Keyword(s): Body Mass Index (BMI); Discrimination, Body weight; Economics of Discrimination; Obesity; Occupations; Racial Differences; Wage Effects; Weight Permission to reprint the abstract has not been received from the publisher. Past empirical work has shown a negative relationship between the body mass index (BMI) and wages in most cases. We improve on this work by allowing the marginal effect of non-linear BMI groups to vary by gender, age, and type of interpersonal relationships required in each occupation. We use the National Longitudinal Survey of Youth 1979 (1982-1998). We find that the often-reported negative relationship between the BMI and wages is larger in occupations requiring interpersonal skills with presumably more social interactions. Also, the wage penalty increases as the respondents get older beyond their mid-twenties. We show that being overweight and obese penalizes the probability of employment across all race-gender subgroups except black women and men. Our results for the obesity-wage association can be explained by either consumers or employers having distaste for obese workers. Copyright (c) 2008 John Wiley & Sons, Ltd.
	Bibliography Citation Han, Euna, Edward C. Norton and Sally C. Stearns. "Weight and Wages: Fat Versus Lean Paychecks." Health Economics 18,5 (May 2009): 535-548.

8.	Norton, Edward C. Nicholas, Lauren H. Huang, Sean Sheng-Hsiu
8.	Informal Care and Inter-vivos Transfers: Results from the National Longitudinal Survey of Mature Women B.E. Journal of Economic Analysis and Policy 14,2 (May 2013): 377-400. Also: http://www.degruyter.com/view/j/bejeap.2014.14.issue-2/bejeap-2012-0062/bejeap-2012-0062.xml Cohort(s): Mature Women Publisher: Walter de Gruyter GmbH & Co. KG Keyword(s): Caregivers, Adult Children; Inheritance; Transfers, Financial Permission to reprint the abstract has not been received from the publisher. Informal care is the largest source of long-term care for elderly, surpassing home health care and nursing home care. By definition, informal care is unpaid. It remains a puzzle why so many adult children give freely of their time. Transfers of time to the older generation may be balanced by financial transfers going to the younger generation. This leads to the question of whether informal care and inter-vivos transfers are causally related. We analyze data from the 1999 and 2003 waves of National Longitudinal Survey of Mature Women. We examine whether the elderly parents give more inter-vivos monetary transfers to adult children who provide informal care, by examining both the extensive and intensive margins of financial transfers and of informal care. We find statistically significant results that a child who provides informal care is more likely to receive inter-vivos transfers than a sibling who does not. If a child does provide care, there is no statistically significant effect on the amount of the transfer.
	Bibliography Citation Norton, Edward C., Lauren H. Nicholas and Sean Sheng-Hsiu Huang. "Informal Care and Inter-vivos Transfers: Results from the National Longitudinal Survey of Mature Women." B.E. Journal of Economic Analysis and Policy 14,2 (May 2013): 377-400.

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