TY - JOUR AU - Levinsohn,James A. AU - McLaren,Zoƫ AU - Shisana,Olive AU - Zuma,Khangelani TI - HIV Status and Labor Market Participation in South Africa JF - National Bureau of Economic Research Working Paper Series VL - No. 16901 PY - 2011 Y2 - March 2011 UR - http://www.nber.org/papers/w16901 L1 - http://www.nber.org/papers/w16901.pdf N1 - Author contact info: James A. Levinsohn Yale School of Management PO Box 208200 New Haven, CT 06520 Tel: 734/763-2319 Fax: 734/764-2769 E-Mail: James.Levinsohn@yale.edu Zoe McLaren School of Public Health University of Michigan Ann Arbor, MI 48109 E-Mail: zmclaren@umich.edu Olive Shisana Health Sciences Research Council Pretoria, South Africa E-Mail: oshisana@hsrc.ac.za Khangelani Zuma Health Sciences Research Council Pretoria, South Africa E-Mail: kzuma@hsrc.ac.za AB - Because individuals with HIV are more likely to fall into poverty, and the poor may be at higher risk of contracting HIV, simple estimates of the effect of HIV status on economic outcomes will tend to be biased. In this paper, we use two econometric methods based on the propensity score to estimate the causal effect of HIV status on employment outcomes in South Africa. We rely on rich data on sexual behavior and knowledge of HIV from a large national household-based survey, which included HIV testing, to control for systematic differences between HIV-positive and HIV-negative individuals. This paper provides the first nationally representative estimates of the impact of HIV status on labor market outcomes for southern Africa. We find that being HIV-positive is associated with a 6 to 7 percentage point increase in the likelihood of being unemployed. South Africans with less than a high school education are 10 to 11 percentage points more likely to be unemployed if they are HIV-positive. Despite high unemployment rates, being HIV-positive confers a disadvantage and reinforces existing inequalities in South Africa. ER -