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Income windfalls and overweight: evidence from lottery wins

Costa-Font, Joan ORCID: 0000-0001-7174-7919 and Györi, Mario (2022) Income windfalls and overweight: evidence from lottery wins. Empirical Economics. ISSN 0377-7332 (In Press)

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Identification Number: 10.1007/s00181-022-02312-7


We examine the impact of an unexpected (unearned) income windfall on overweight and an individual's Body Mass Index (BMI). We use longitudinal data from the United Kingdom, where a large proportion of the population plays the lottery, and model with time and individual specific fixed effects alongside a set of relevant controls. Although our findings do not support a contemporaneous effect of an income windfall on the likelihood of being overweight, we do find significant evidence of lagged effects. More specifically, we document a reduction in the likelihood of being overweight 12 months after winning the lottery. A £10,000 win reduces obesity in the range up to 3 percentage points. Estimates are heterogeneous across working hours and educational attainment. A lottery win reduces the risk of being overweight in people with low education.

Item Type: Article
Additional Information: © 2022 The Author(s).
Divisions: Health Policy
Subjects: R Medicine > RA Public aspects of medicine > RA0421 Public health. Hygiene. Preventive Medicine
JEL classification: I - Health, Education, and Welfare > I1 - Health > I12 - Health Production: Nutrition, Mortality, Morbidity, Suicide, Substance Abuse and Addiction, Disability, and Economic Behavior
I - Health, Education, and Welfare > I1 - Health > I18 - Government Policy; Regulation; Public Health
J - Labor and Demographic Economics > J3 - Wages, Compensation, and Labor Costs > J30 - General
Date Deposited: 23 Sep 2022 15:21
Last Modified: 03 Oct 2022 13:21

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