TY - RPRT AU - Duarte, Rosa AU - Escario, José-Julián AU - Molina, José Alberto TI - Peer Effects, Unobserved Factors and Risk Behaviours: An Analysis of Alcohol Abuse and Truancy among Adolescents PY - 2007/Jan/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 2589 UR - https://www.iza.org/index.php/publications/dp2589 AB - The objective of this paper is to examine the factors which affect alcohol abuse and truancy among adolescents. We propose a new theoretical specification in which alcohol abuse and truancy appear as derived demands, given that they condition peer group and family acceptance, and we introduce unobserved individual effects that can influence both behaviours. Empirically, our paper develops an analysis where, after controlling for the existence of unobserved individual factors affecting both decisions, we test for peer influences. Our results first show evidence that alcohol abuse and truancy share unobserved factors affecting both decisions, and then confirm the existence of significant peer group influences on these two deviant behaviours. KW - peer KW - truancy KW - alcohol KW - risk behaviours KW - unobserved factors KW - bivariate probit ER -