Essays on the Aggregate Burden of Alcohol Abuse

This dissertation attempts to uncover the causal relationship between alcohol abuse and both income growth and crime. These two research questions are investigated in three essays: Essay I investigates the relationship between alcohol abuse and income growth in the United States; Essay II examines the impact of alcohol abuse on income growth at the international level; Essay III investigates the effect of alcohol abuse on crime in the united states. Essay I of this dissertation uses state level data from the United States for the period 1970-1998 to estimate the impact of alcohol abuse on income growth by utilizing per capita beer consumption as the measure of alcohol abuse. Results suggest that, even though generally small, there is a negative relationship between alcohol abuse and income growth once the endogeneity between income growth and per capita beer consumption is addressed by utilizing levels of excise alcohol taxes and the Minimum Drinking Age Law of 21 as instruments. These results indirectly favor the previous research on two dimensions: First, alcohol abuse generates a significant burden on the economy; Second, increases in excise alcohol taxes would be efficient in terms of income growth. Essay II of this dissertation uses data from 72 countries for the period 1960-1995 to estimate the impact of alcohol abuse on income growth by utilizing per capita beer, wine, liquor, and total ethanol consumption as the measures of alcohol abuse. Results suggest that, even though generally small, there is a negative significant relationship between per capita beer consumption and income growth once the endogeneity between income growth and per capita beer consumption is addressed with system GMM dynamic panel estimators. These results show that per capita beer consumption is the medium of alcohol abuse not only in the United States, but also around the world. Moreover, these results favor the previous research on the fact that alcohol abuse generates a significant burden on economies. Essay III of this dissertation uses state level data from the United States for the period 1982-2000 to investigate the relationship between crime and alcohol abuse by utilizing per capita beer consumption as the measure of alcohol abuse. Potential endogeneity between per capita beer consumption and crime is addressed by using excise beer taxes and alcohol control measures as instruments. Results show that alcohol abuse seems to have a positive impact overall on the crime rate. Nevertheless, the effect is not uniform among different crime types. In the case of property crime types, results suggest that alcohol abuse plays a more important role in crime types that require a lesser degree of organization and more spontaneity (i.e., larceny theft versus burglary and motor vehicle theft). In the case of violent crime types, results suggest that the impact of alcohol abuse is more pressing in non-murder crime types versus murder. These results have policy implications: excise alcohol taxes and alcohol control policies may play a role in reducing certain crime types, which are larceny theft, rape, robbery, and aggravated assault, but not the other crime types, which are burglary, motor vehicle theft, and murder

The Psychological Costs of War: Military Combat and Mental Health

While descriptive evidence suggests that deployment in the Global War on Terrorism is associated with adverse mental health, the causal effect of combat is not well established. Using data drawn from the National Longitudinal Study of Adolescent Health, we exploit exogenous variation in deployment assignment and find that soldiers deployed to combat zones where they engage in frequent enemy firefight or witness allied or civilian deaths are at substantially increased risk for suicidal ideation, psychological counseling, and post-traumatic stress disorder (PTSD). Our estimates imply lower-bound health care costs of $1.5 to$2.7 billion for combat-induced PTSD.military service, post-traumatic stress disorder, depression

High Birth Weight and Cognitive Outcomes

While the effects of low birth weight have long been explored, those of high birth weight have been essentially ignored. Economists have analyzed the negative effects that low birth weight might have on subsequent school outcomes, while taking into account unobserved characteristics that may be common to families with low birth weight babies and negative outcomes in terms of school test scores when children, in addition to labor market income when adults. Today, however, with increasing obesity rates in the United States, high birth weight has become a potential concern, and has been associated in the medical literature with an increased likelihood of becoming an overweight child, adolescent, and subsequently an obese adult. Overweight and obesity, in turn, are associated with a host of negative effects, including lower test scores in school and lower labor market prospects when adults. If studies only focus on low birth weight, they may underestimate the effects of ensuring that mothers receive adequate support during pregnancy. In this study we find that cognitive outcomes are adversely affected not only by low birth weight ( 4500 grams). Our results have policy implications in terms of provision of support for pregnant women.

Air Pollution and Infant Mortality: Evidence from the Expansion of Natural Gas Infrastructure

We would like to thank Laura Arygs, Ala Cubukcu, and the seminar participants at the Queen

Mandatory Schooling of Girls Improved Their Children’s Health: Evidence from Turkey’s 1997 Education Reform

This study examines the impact of mandatory maternal education on child health in Turkey, where a non-trivial fraction of families restricted their daughters’ schooling due to social and cultural barriers. The analysis employs two large data sets and exploits a quasi-experiment involving an education reform that increased compulsory schooling. Results show that an increase in mother\u27s schooling improves child health at birth (as measured by factors such as low birth weight and premature birth) and lowers child mortality. The current study on the intergenerational benefits of compulsory schooling arguably provides the strongest evidence supporting the argument that mandatory female education has substantial nonpecuniary benefits in terms of the health of the offspring in societies where female education is stigmatized. The implications of this research extend beyond girls’ schooling and suggest that compulsory human capital investments in children can correct market failures when families underinvest in their children because of social or cultural barriers