The effect of alcohol consumption on household income in Ireland

dc.contributor.authorOrmond, Gillian
dc.contributor.authorMurphy, Rosemary
dc.date.accessioned2016-10-27T10:32:30Z
dc.date.available2016-10-27T10:32:30Z
dc.date.issued2016-10-05
dc.description.abstractThis paper presents a study of the effects of alcohol consumption on household income in Ireland using the Slán National Health and Lifestyle Survey 2007 dataset, accounting for endogeneity and selection bias. Drinkers are categorised into one of four categories based on the recommended weekly drinking levels by the Irish Health Promotion Unit; those who never drank, non-drinkers, moderate and heavy drinkers. A multinomial logit OLS Two Step Estimate is used to explain individual's choice of drinking status and to correct for selection bias which would result in the selection into a particular category of drinking being endogenous. Endogeneity which may arise through the simultaneity of drinking status and income either due to the reverse causation between the two variables, income affecting alcohol consumption or alcohol consumption affecting income, or due to unobserved heterogeneity, is addressed. This paper finds that the household income of drinkers is higher than that of non-drinkers and of those who never drank. There is very little difference between the household income of moderate and heavy drinkers, with heavy drinkers earning slightly more. Weekly household income for those who never drank is €454.20, non-drinkers is €506.26, compared with €683.36 per week for moderate drinkers and €694.18 for heavy drinkers.en
dc.description.statusPeer revieweden
dc.description.versionAccepted Versionen
dc.format.mimetypeapplication/pdfen
dc.identifier.citationOrmond, G. and Murphy, R. (2016) ‘The effect of alcohol consumption on household income in Ireland’, Alcohol, 56, pp. 39-49. doi: 10.1016/j.alcohol.2016.10.003en
dc.identifier.doi10.1016/j.alcohol.2016.10.003
dc.identifier.endpage49en
dc.identifier.issn0741-8329
dc.identifier.journaltitleAlcoholen
dc.identifier.startpage39en
dc.identifier.urihttps://hdl.handle.net/10468/3219
dc.identifier.volume56en
dc.language.isoenen
dc.publisherElsevieren
dc.rights© 2016 Published by Elsevier Inc. This manuscript version is made available under the CC-BY-NC-ND 4.0 license. https://creativecommons.org/licenses/by-nc-nd/4.0/en
dc.rights.urihttps://creativecommons.org/licenses/by-nc-nd/4.0/en
dc.subjectAlcoholen
dc.subjectIncomeen
dc.subjectEndogeneityen
dc.subjectSelection biasen
dc.subjectMultinomial logiten
dc.titleThe effect of alcohol consumption on household income in Irelanden
dc.typeArticle (peer-reviewed)en
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