A comparison of parametric and semiparametric estimates of the effect of spousal health insurance coverage on weekly hours worked by wives

Craig A. Olson
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Craig A. Olson: School of Business & Industrial Relations Research Institute, University of Wisconsin-Madison, 975 University Ave, Madison, WI 53706-1323, USA, Postal: School of Business & Industrial Relations Research Institute, University of Wisconsin-Madison, 975 University Ave, Madison, WI 53706-1323, USA

Journal of Applied Econometrics, 1998, vol. 13, issue 5, 543-565

Abstract: Health insurance in the USA for most of the non-aged population is provided as a fringe benefit that is received by an adult family member as part of his or her compensation package. In husband and wife households health insurance is more likely to be part of the husband's compensation package than the wife's compensation package. However, when a husband does not have employer-provided health insurance, his wife may seek health insurance through an employer. Because health insurance through one's employer typically requires that a worker is a full-time employee, spousal health insurance coverage for wives is predicted to influence their labour supply decisions. Parametric and semiparametric statistical models using March 1993 CPS data show wives without spousal health benefits are more likely to work full-time than those who do have spousal health benefits. © 1998 John Wiley & Sons, Ltd.

Date: 1998
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