# hw8 - Let I equal income in thousands(so the average I for...

This preview shows page 1. Sign up to view the full content.

HPAM8600: Health Economics UGA College of Public Health Professor Angela Fertig Spring 2010 Homework 8 Due Wednesday, April 21, 2010 1. Suppose that income, I, is the only variable that aﬀects health outcomes. The equations for the health status, H, of black and white men are given by: H w = 500 + 100 I H b = 300 + 75 I On average, whites have \$50,000 in income and blacks have \$40,000 in income.
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Let I equal income in thousands (so the average I for whites is 50 and the average I for blacks is 40). (a) What is the black-white health diﬀerential? (b) Using the Oaxaca-Blinder decomposition, calculate how much of this health diﬀerential is due to discrimination....
View Full Document

## This note was uploaded on 01/18/2012 for the course HPAM 8600 taught by Professor Ferig during the Spring '11 term at UGA.

Ask a homework question - tutors are online