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Marjorie L. Baldwin, PhD, W. P. Carey School of Business - Health Management & Policy, Arizona State University, PO Box 874506, Tempe, AZ 85287-4506, 4809657868, marjorie.baldwin@asu.edu and Steven C. Marcus, PhD, University of Pennsylvania, 215 South 24th Street, Philadelphia, PA 19103.
Mental disorders are a leading cause of work disability. Mental disorders are subject to intense stigma that contributes to poor outcomes in the labor market. We analyze the extent to which self-reports of job-related discrimination from persons with mental disorders coincide with economists’ measures of discrimination. Data come from the 1996 MEPS, which provides measures of demographics, functional limitations, income, and employment; linked to the 1994-1995 NHIS-D, which provides measures of cognitive limitations and self-reports of job discrimination. The linkage represents the first time one data source has been constructed that supports comparisons of economists’ measures of discrimination with workers’ perceptions. Differences in employment and wage rates between persons with and without mental disorders are decomposed into a part explained by between-group differences in productivity-related characteristics, and an unexplained part, attributed to discrimination. Persons without mental disorders are compared to persons with: any mental disorder, mood disorders, anxiety disorders, and affective disorders. Decompositions are estimated separately for persons with mental disorders who report a discriminatory experience and those who do not. Part of the difference in labor market outcomes between persons with and without mental disorders is explained by measured productivity differences, but a substantial part is unexplained. The unexplained differential is significantly larger for groups reporting discriminatory experiences, providing a direct link between economists’ measures of discrimination and workers’ experiences in the labor market. Discrimination reduces wages and employment for persons with mental disorders. Gaps between measured discrimination and worker perceptions have distinct policy implications that will be discussed.
Learning Objectives:
Keywords: Mental Health,
Presenting author's disclosure statement:
I do not have any significant financial interest/arrangement or affiliation with any organization/institution whose products or services are being discussed in this session.