What, Me worry? The Health and Financial Correlation
Have market losses ever made you sick? If so, according to a recent study by Joseph Engelberg and Christopher Parsons associate professors of finance at the University of California at San Diego, you are not alone. After examining three decades of hospital admission data they concluded that hospitalizations rise on days when shares fall and that “people are hospitalized disproportionately for mental conditions”. Their research shows that equity market losses appeared to induce 3700 market related hospitalizations a year in California alone. When the data is extrapolated nationally, using the Census Bureau data showing the average hospitalization event costs around $21,000, they estimate the U.S. economic impact to be roughly $650 million a year.
