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WE THANK Prof. Golant for his comments concerning our work. Our aims in this brief response are to (a) discuss the role of omitted individual-level measures, particularly related to psychological indices; (b) address concerns about the sophistication of neighborhood-level measures; and (c) review the relevance of these comments for racial disparities in health. To reorient the reader, our article is about racial differences in self-rated health at older ages and the potential explanatory contribution of neighborhood social context. A multilevel approach, theoretically and empirically, is necessary to discuss and test any mechanisms that operate at the neighborhood level; we hypothesized that neighborhood-level factors might account for the racial difference in self-rated health observed at the individual level. First, a fundamental concern, raised here and elsewhere, is that neighborhood variables are simply picking up poorly measured or unmeasured individual-level characteristics. It is this concern that prompted our reliability analysis. Although the reliability analysis speaks to only one issue—the relationship between individual- and neighborhood-level economic status— and one form of mismeasurement—a construct poorly measured rather than one omitted altogether—we believe it provides additional evidence in support of our hypothesis that neighborhood factors uniquely affect health. That is, even under a scenario where individual-level income is measured with poor precision, we still see an impact from the aggregate level of income in the community. As for omitted variables, we agree that psychological factors such as optimism could be important. They could confound, mediate, or indeed be endogenous to the neighborhood–health relationship. We did not have the empirical opportunity to explore this pathway. That said, we do not believe our results can be explained by unmeasured psychological profiles exhibited in the aggregate. We were unable to find evidence in support of the hypothesis that optimistic persons, for instance, cluster geographically or that individual affluence itself leads to greater optimism. Indeed,

Racial Disparities in Self-Rated Health at Older Ages and the Dangers of Obfuscating Neighborhood Effects Research