We use panel data from the US Health and Retirement Study 1992-2002 to estimate the effect of self-assessed health … limitations on active labor market participation of men around retirement age. Self-assessments of health and functioning … typically introduce an endogeneity bias when studying the effects of health on labor market participation. This results from …

Several empirical studies provide evidence that their actual health state affects people's attitudes towards health and … medical care in hypothetical health states. In the tradition of behavioural economics this paper considers the actual health … state as a point of reference and builds a model for studying the implications of this phenomenon on health insurance and on …