The Impact of Alcohol Use on Occupational Attainment and Wages.

In this study we provide evidence on the effect of alcohol consumption on occupational attainment and wages in England. To do this we use a pooled sample of employees from the Health Survey for England of 1994, 1995 and 1996. Using the technique of Instrumental Variables we find positive returns to moderate levels of drinking that drop-off rapidly as consumption increases. This result holds when we use a restricted sample consisting of only those individuals with consumption patterns that have remained constant over a five year period.