Endogenous health groups and heterogeneous dynamics of the elderly
内生健康分组与老年人的异质性动态
Summary We propose a methodology to classify individuals into few but meaningful health groups by estimating a panel Markov switching model that exploits rich information from panel household surveys. Using the HRS, we identify four persistent health groups, depending on individual's physical and mental disabilities. Our classification outperforms existing health measures at explaining entry in nursing homes, home health care, out‐of‐pocket medical expenses, and mortality…