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An Analysis on Danish Micro Data - School of Economics and ...

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c<strong>on</strong>structed, <strong>and</strong> will be explained in secti<strong>on</strong>s 4.2.1-4.2.3. These secti<strong>on</strong>s will also describe the<br />

dependent variable <strong>and</strong> some <strong>of</strong> the independent variables in more detail.<br />

4.2.1 The employment indicator<br />

The dependent variable in the present thesis is a variable that measures the individual’s participati<strong>on</strong><br />

in the labour market. The original register dataset c<strong>on</strong>tained a variable indicating the individual’s<br />

primary working positi<strong>on</strong>. The variable is used to c<strong>on</strong>struct three dummies indicating whether the<br />

pers<strong>on</strong> is employed, unemployed or outside the labour market. The individuals that are employed,<br />

(emp) include (am<strong>on</strong>g others) wage-earners, managers <strong>and</strong> people who are self-employed. The<br />

dummy <strong>of</strong> unemployed (unemp) is defined by people who are out <strong>of</strong> a job <strong>and</strong> either receiving<br />

unemployment benefits, taking part in an active labour market programme or receiving cash<br />

benefits from the state. The final dummy, which is dubbed ‘outside the labour market’ (olm),<br />

comprises all the remaining categories. This dummy includes very diverse categories, such as<br />

students, individuals <strong>on</strong> leave <strong>and</strong> people who are granted early retirement due to their illness. Since<br />

the dependent variable is a binary employment indicator, it determines that the analysis is best<br />

performed with discrete resp<strong>on</strong>se models.<br />

<str<strong>on</strong>g>An</str<strong>on</strong>g>other measure <strong>of</strong> employment is the variable daysemp that reports the days in employment per<br />

year. Compared to the dummies created from the variable primary working positi<strong>on</strong> that are discrete<br />

variables, this measure approximates a c<strong>on</strong>tinuous variable. The problem is that it is missing for<br />

about half <strong>of</strong> the observati<strong>on</strong>s. It turns out though, that it is missing mainly for the individuals who<br />

are outside the labour force, <strong>and</strong> therefore it is still interesting to perform the analysis for all the<br />

individuals who are in the labour force.<br />

4.2.2 The indicator <strong>of</strong> antidepressant use<br />

The variable <strong>of</strong> main interest in this analysis is the use <strong>of</strong> antidepressants. The whole purpose is to<br />

find the effect <strong>of</strong> antidepressant use <strong>on</strong> employment. As menti<strong>on</strong>ed in secti<strong>on</strong> 4.1 the individual’s<br />

yearly amount <strong>of</strong> antidepressants bought is summarized in the variable antidep. N06A defines the<br />

subgroup <strong>of</strong> psychoactive drugs that is used for treating depressi<strong>on</strong>. C<strong>on</strong>sequently the part <strong>of</strong> the<br />

sample populati<strong>on</strong> taking antidepressants are defined by all the individuals that buy at least <strong>on</strong>e <strong>of</strong><br />

the drugs c<strong>on</strong>tained in the subgroup N06A. For the purpose <strong>of</strong> the analysis a dummy variable is<br />

c<strong>on</strong>structed. The variable ad_dummy, indicating use <strong>of</strong> antidepressants, takes <strong>on</strong> the value <strong>of</strong> 1<br />

when antidep is positive <strong>and</strong> 0 otherwise.<br />

34

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