Road to perdition? The effect of illicit drug use on labour market outcomes of prime-age men in Mexico

Fuente: arXiv
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Main Authors: Antón, José-Ignacio, Ponce, Juan, de Bustillo, Rafael Muñoz
Format: Preprint
Published: 2024
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author Antón, José-Ignacio
Ponce, Juan
de Bustillo, Rafael Muñoz
author_facet Antón, José-Ignacio
Ponce, Juan
de Bustillo, Rafael Muñoz
contents This study addresses the impact of illicit drug use on the labour market outcomes of men in Mexico. We leverage statistical information from three waves of a comparable national survey and make use of Lewbel's heteroskedasticity-based instrumental variable strategy to deal with the endogeneity of drug consumption. Our results suggests that drug consumption has quite negative effects in the Mexican context: It reduces employment, occupational attainment and formality and raises unemployment of local men. These effects seem larger than those estimated for high-income economies
format Preprint
id arxiv_https___arxiv_org_abs_2405_10884
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle Road to perdition? The effect of illicit drug use on labour market outcomes of prime-age men in Mexico
Antón, José-Ignacio
Ponce, Juan
de Bustillo, Rafael Muñoz
General Economics
Economics
This study addresses the impact of illicit drug use on the labour market outcomes of men in Mexico. We leverage statistical information from three waves of a comparable national survey and make use of Lewbel's heteroskedasticity-based instrumental variable strategy to deal with the endogeneity of drug consumption. Our results suggests that drug consumption has quite negative effects in the Mexican context: It reduces employment, occupational attainment and formality and raises unemployment of local men. These effects seem larger than those estimated for high-income economies
title Road to perdition? The effect of illicit drug use on labour market outcomes of prime-age men in Mexico
topic General Economics
Economics
url https://arxiv.org/abs/2405.10884