Brookings Institution map; click on it to see a much larger version. |
Krueger's new paper and data, published in the Fall 2017 edition of Brookings Papers on Economic Activity, "suggests that the increase in opioid prescriptions from 1999 to 2015 could account for about 20 percent of the observed decline in men’s labor-force participation during that same period, and 25 percent of the observed decline in women’s labor-force participation," Fred Dews reports for the Brookings Institution. "Over the last 15 years, the labor-force participation rate fell more in counties where more opioids were prescribed."
Labor-force participation has been declining for about 15 years, "reaching a near 40-year low of 62.4 percent in September 2015," Dews notes. "The participation rate of American women had fallen from the top group of OECD countries to near the bottom," according to the international Organization for Economic Cooperation and Development. Kentucky's rate is lower, 57.6 percent in 2016, the fourth lowest in the nation; it was 62 percent in February 2009, the low point of the recession, before unemployment benefits began to run out and more people started dropping out of the workforce. It dropped sharply in 2014.
Krueger suggests that while much of the decline comes from the aging population "and other trends that pre-date the Great Recession (for example, increased school enrollment of younger workers), an increase in opioid prescription rates might also play an important role in the decline, and undoubtedly compounds the problem as many people who are out of the labor force find it difficult to return to work because of reliance on pain medication," Dews writes.
But is the trend more because people on painkillers are less likely to work, or because people not working are more likely to be on painkillers? “Regardless of the direction of causality, the opioid crisis and depressed labor-force participation are now intertwined in many parts of the U.S,” Krueger writes.
Kentucky Chamber of Commerce chart; for report, click here. |
Krueger suggests that while much of the decline comes from the aging population "and other trends that pre-date the Great Recession (for example, increased school enrollment of younger workers), an increase in opioid prescription rates might also play an important role in the decline, and undoubtedly compounds the problem as many people who are out of the labor force find it difficult to return to work because of reliance on pain medication," Dews writes.
But is the trend more because people on painkillers are less likely to work, or because people not working are more likely to be on painkillers? “Regardless of the direction of causality, the opioid crisis and depressed labor-force participation are now intertwined in many parts of the U.S,” Krueger writes.
The research reveals regional differences in medical practices. "A 10 percent increase in the amount of opioids prescribed per capita in a county is associated with a 1 percent increase in the share of individuals who report taking a pain medication on any given day, holding health and other factors constant," Dews reports.
from Kentucky Health News http://ift.tt/2wSshih Research associates painkillers with 1/5 of recent reduction in labor force; Kentucky is among the most affected statesHealthy Care
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