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Does widowhood explain gender differences in out-of-pocket medical spending among the elderly?

Gopi Goda, John B. Shoven and Sita Slavov

Journal of Health Economics, 2013, vol. 32, issue 3, 647-658

Abstract: Despite the presence of Medicare, out-of-pocket medical spending is a large expenditure risk facing the elderly. While women live longer than men, elderly women incur higher out-of-pocket medical spending than men at each age. In this paper, we examine whether differences in marital status and living arrangements can explain this difference. We find that out-of-pocket medical spending is approximately 24 percent higher when an individual becomes widowed, a large portion of which is spending on nursing homes. Our results suggest a substantial role of living arrangements in out-of-pocket medical spending. Our estimates combined with differences in rates of widowhood across gender suggest that marital status can explain about one third of the gender difference in total out-of-pocket medical spending, leaving a large portion unexplained. On the other hand, gender differences in widowhood more than explain the observed gender difference in out-of-pocket spending on nursing homes.

Keywords: Medical spending; Out-of-pocket; Widowhood; Nursing home; Marital status (search for similar items in EconPapers)
JEL-codes: I11 J12 J14 J16 (search for similar items in EconPapers)
Date: 2013
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Working Paper: Does Widowhood Explain Gender Differences in Out-of-Pocket Medical Spending Among the Elderly? (2011) Downloads
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