Eligibility Recertification and Dynamic Opt-in Incentives in Income-tested Social Programs: Evidence from Medicaid/CHIP

Zhuan Pei

No 61, Working Papers from Brandeis University, Department of Economics and International Business School

Abstract: Conventional labor supply studies assume the constant eligibility monitoring of income-tested program participants, but this is not true for most programs. For example, states can allow children to enroll in Medicaid/CHIP for 12 months regardless of family income changes. A long recertification period reduces monitoring costs but is predicted to induce program participation by temporary income adjustments. However, I find little evidence of strategic behavior from the Survey of Income and Program Participation. Given the lack of income responses, I propose a framework to compute the optimal recertification period and find 12 months to be its lower bound.

Keywords: Labor Supply; Medicaid; CHIP; Continuous Eligibility; Recertification (search for similar items in EconPapers)
JEL-codes: I38 J20 (search for similar items in EconPapers)
Pages: 50 pages
Date: 2013-08
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http://www.brandeis.edu/economics/RePEc/brd/doc/Brandeis_WP61.pdf First version, 2013 (application/pdf)

Related works:
Journal Article: Eligibility Recertification and Dynamic Opt-In Incentives in Income-Tested Social Programs: Evidence from Medicaid/CHIP (2017)
Working Paper: Eligibility Recertification and Dynamic Opt-in Incentives in Income-tested Social Programs: Evidence from Medicaid/CHIP (2015)
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