The incidence of the healthcare costs of chronic conditions

Kyung Min Lee and Chanup Jeung ()
Additional contact information
Chanup Jeung: George Mason University

International Journal of Health Economics and Management, 2021, vol. 21, issue 4, No 4, 473-493

Abstract: Abstract Who pays for the costs of chronic conditions? In this paper, we examine whether 50–64-year old workers covered by employer-sponsored insurance bear healthcare costs of chronic conditions in the form of lower wages. Using a difference-in-differences approach with data from the Health and Retirement Study, we find that workers with chronic diseases receive significantly lower wages than healthy workers when they are covered by employer-sponsored insurance. Our findings suggest that higher healthcare costs of chronic conditions can explain the substantial part of the wage gap between workers with and without chronic diseases.

Keywords: Compensating wage differential; Wage; Employer-sponsored health insurance; Chronic disease (search for similar items in EconPapers)
JEL-codes: I1 J3 J7 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s10754-021-09305-6 Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:ijhcfe:v:21:y:2021:i:4:d:10.1007_s10754-021-09305-6

Ordering information: This journal article can be ordered from
http://www.springer. ... th/journal/10754/PS2

DOI: 10.1007/s10754-021-09305-6

Access Statistics for this article

International Journal of Health Economics and Management is currently edited by Leemore Dafny, Robert Town, Mark Pauly, David Dranove and Pedro Pita Barros

More articles in International Journal of Health Economics and Management from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().