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KMID : 1124020180340040259
Korean Social Security Studies
2018 Volume.34 No. 4 p.259 ~ p.293
The impact of basic livelihood benefit on depression in South Korea
Choi Yo-Han

Abstract
This study estimates the impact of the basic livelihood benefit (the National Basic Livelihood Security System) on depression in South Korea. The 1st to 12th waves (2006-2017) of the Korea Welfare Panel Study are used as data sources, and the CES-D 11 scale is adopted to distinguish between depression and non-depression. In order to explore an appropriate estimation model, five models with different assumptions about (a) individual time-invariant unobserved heterogeneity; (b) conditional state dependence of dependent variables; and (c) feedback effects are analyzed. The results of analyzing those over and under 60 respectively show that receipt of the benefits does not appear to have affected their depression. This has resulted probably because the level of the benefits is not sufficient, or because it is difficult to reduce depression that easily. It also appears that an appropriate estimation model is needed to bring under control not only individual time-invariant unobserved heterogeneity but also conditional state dependence of dependent variables. It may be because depression itself increases the probability of being a basic livelihood benefit recipient, or because individual time-variant unobserved heterogeneity affects both depression and the probability of becoming a benefit recipient.
KEYWORD
basic livelihood benefit, social assistance, depression, feedback effects, quadratic exponential model
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