Public health insurance and employment transitions

Erkmen Aslim

Labour Economics, 2022, vol. 75, issue C

Abstract: This study explores the effect of public health insurance on employment transitions among adults without dependent children. Under the Affordable Care Act, many states expanded Medicaid eligibility to cover adults with incomes up to 138 percent of the federal poverty level. I exploit this eligibility cutoff in a difference-in-discontinuities design and find that the probability of part-time employment increases relative to full-time employment. These employment transitions are strongest among females, low-educated workers, and individuals aged 45–64. An exploration of potential mechanisms shows that employment transitions are due to personal (voluntary) reasons as opposed to economic (involuntary) reasons, suggesting that increases in part-time employment are through the labor supply channel.

Keywords: Affordable care act; Health insurance; Labor supply; Difference-in-discontinuities (search for similar items in EconPapers)
JEL-codes: C21 I10 J21 J26 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:labeco:v:75:y:2022:i:c:s0927537122000197

DOI: 10.1016/j.labeco.2022.102126

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