Employment-Contingent Health Insurance, Illness, and Labor Supply of Women: Evidence from Married Women with Breast Cancer

Cathy J. Bradley (), David Neumark, Zhehui Luo () and Heather L. Bednarek ()
Additional contact information
Cathy J. Bradley: Virginia Commonwealth University
Heather L. Bednarek: St. Louis University

No 1577, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: We examine the effects of employment-contingent health insurance on married women’s labor supply following a health shock. First, we develop a theoretical model that examines the effects of employment-contingent health insurance on the labor supply response to a health shock, to clarify under what conditions employment-contingent health insurance is likely to dampen the labor supply response. Second, we empirically evaluate this relationship using primary data. The results from our analysis find that – as the model suggests is likely – health shocks decrease labor supply to a greater extent among women insured by their spouse’s policy than among women with health insurance through their own employer. Employment-contingent health insurance appears to create incentives to remain working and to work at a greater intensity when faced with a serious illness.

Keywords: cancer; labor supply; health shock; health insurance (search for similar items in EconPapers)
JEL-codes: I12 J2 (search for similar items in EconPapers)
Pages: 38 pages
Date: 2005-04
New Economics Papers: this item is included in nep-hea and nep-ias
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Citations: View citations in EconPapers (1)

Published - published in: Health Economics, 2007, 16 (7), 719-737

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Related works:
Journal Article: Employment‐contingent health insurance, illness, and labor supply of women: evidence from married women with breast cancer (2007)
Working Paper: Employment-Contingent Health Insurance, Illness, and Labor Supply of Women: Evidence from Married Women with Breast Cancer (2005)
Working Paper: Employment-Contingent Health Insurance, Illness, and Labor Supply of Women: Evidence from Married Women with Breast Cancer (2005)
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