This paper analyzes the impact of diabetes awareness on labor income using data from a natural experiment in China. We find that diabetes in general leads to a 17.8% decrease in annual income after respondents being diagnosed, and the adverse impact is heterogeneous across different populations. Males and individuals with lower income are affected more, suggesting that social support may be necessary. The estimated income losses are primarily due to psychosocial consequences of diabetes, such as reduced productivity, diabetes-related distress, or discrimination in the workplace.
Apr 16, 2014
Diabetes and Labor Income
From a new paper by Xiaoou Liu & Chen Zhu: