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Persistent Effects of Temporary Incentives: Evidence from a Nationwide Health Insurance Experiment

Aurelien Baillon (), Joseph Capuno, Owen O'Donnell, Carlos Tan and Kim van Wilgenburg
Additional contact information
Carlos Tan: University of the Philippines Diliman
Kim van Wilgenburg: Erasmus University Rotterdam

No 19-078/V, Tinbergen Institute Discussion Papers from Tinbergen Institute

Abstract: Temporary incentives are offered in anticipation of persistent effects, but these are seldom estimated. We use a nationwide randomized experiment in the Philippines to estimate effects three years after the withdrawal of two incentives for health insurance. A premium subsidy had a persistent effect on enrollment that is more than four fifths of the immediate effect. Application assistance had a much larger immediate impact, but less than a fifth of this effect persisted. The subsidy persuaded those with higher initial willingness to pay to enroll and keep enrolling, while application assistance achieved a larger immediate effect by drawing in those who valued insurance less and were less likely to re-enroll.

Keywords: incentives; persistence; health insurance; subsidy; randomized experiment (search for similar items in EconPapers)
JEL-codes: C93 I13 (search for similar items in EconPapers)
Date: 2019-11-17
New Economics Papers: this item is included in nep-dev, nep-exp, nep-hea, nep-ias and nep-sea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Related works:
Journal Article: Persistent effects of temporary incentives: Evidence from a nationwide health insurance experiment (2022) Downloads
Working Paper: Persistent effects of temporary incentives: Evidence from a nationwide health insurance experiment (2022)
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Persistent link: https://EconPapers.repec.org/RePEc:tin:wpaper:20190078

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