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NCJ Number: 157359 Find in a Library
Title: Effect of Illicit Drug Use on the Wages of Young Adults
Journal: Journal of Labor Economics  Volume:9  Issue:4  Dated:(1991)  Pages:381-412
Author(s): R Kaestner
Date Published: 1991
Page Count: 32
Type: Research (Applied/Empirical)
Format: Article
Language: English
Country: United States of America
Annotation: This study used data from the National Longitudinal Survey to assess whether the frequency of use of cocaine or marijuana affected the wage rates of a sample of young adults.
Abstract: The author hypothesized that, given the medical consequences of illicit drug use and the resulting loss of productivity, such drug use would be associated with lower salaries. The article describes the empirical model used in the analysis, as well as the current data set. Contrary to expectations, the results showed that increased frequency of drug use leads to higher wages across gender groups, age cohorts, and drug type. The findings also indicate that the positive relationship between drug use and wages does not diminish with age, despite the hypothesis that drug-using employees would invest less time in on-the-job training. Further analysis, using yearly earnings or annual labor supply, might be more helpful in uncovering the harmful effects of drug use on labor market outcomes. 8 tables, 22 notes, 2 appendixes, and 39 references
Main Term(s): Drug use
Index Term(s): Career development; Pay rates; Productivity
Note: DCC
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