Beyond Net Worth Racial Differences in Wealth Portfolios and Black–White Health Inequality across the Life Course

• Published in: Journal of health and social behavior Vol. 61; no. 2; pp. 153 - 169
• Main Authors: Boen, Courtney, Keister, Lisa, Aronson, Brian
• Format: Journal Article
• Language: English
• Published: Los Angeles, CA Sage Publications, Inc 01.06.2020; SAGE Publications; American Sociological Association
• Subjects: Adult; African Americans - statistics & numerical data; Assets; Black white differences; Black white relations; Correlation analysis; Debt; Equity; European Continental Ancestry Group - statistics & numerical data; Female; Financial Statements - statistics & numerical data; Health disparities; Health problems; Health research; Health status; Health Status Disparities; Home ownership; Humans; Income; Inequality; Life course; Male; Middle Aged; Original Article; Ownership; Portfolios; Race; Race Factors; Race relations; Racial differences; Savings; Socioeconomic Factors; Wealth; wealth; racial health disparities; assets; life course and aging; debt
• ISSN: 0022-1465; 2150-6000; 2150-6000
• DOI: 10.1177/0022146520924811

A large body of research links wealth and health, but most previous work focuses on net worth. However, the assets and debts that comprise wealth likely relate to health in different and meaningful ways. Furthermore, racial differences in wealth portfolios may contribute to racial health gaps. Using longitudinal data from the Panel Study of Income Dynamics (PSID) and mixed effects growth curve models, we examined the associations between various wealth components and multiple health outcomes. We also investigated whether black–white differences in wealth portfolios contributed to racial health inequality. We found that savings, stock ownership, and homeownership consistently improve health, but debt is associated with worse health, even after adjusting for total net worth. We found little evidence that home equity is associated with health. Findings also revealed differential health returns to assets by race. These findings provide new insights into the complex relationship among race, wealth, and health.