Working Paper: NBER ID: w21836
Authors: Robert Kaestner; Bowen Garrett; Anuj Gangopadhyaya; Caitlyn Fleming
Abstract: We examined the effect of the expansion of Medicaid eligibility under the Affordable Care Act on health insurance coverage and labor supply of low-educated and low-income adults. We found that the Medicaid expansions were associated with large (e.g., 50 percent) increases in Medicaid coverage and corresponding decreases in the proportion uninsured. There was relatively little change in private insurance coverage, although the expansions tended to decrease such coverage slightly. In terms of labor supply, estimates indicated that the Medicaid expansions had little effect on work effort despite the substantial changes in health insurance coverage. Most estimates suggested that the expansions increased work effort, although not significantly.
Keywords: Medicaid; Affordable Care Act; Labor Supply; Health Insurance Coverage
JEL Codes: H42; I13; J22
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Medicaid expansions (I18) | Medicaid coverage (I18) |
| Medicaid coverage (I18) | uninsured individuals (I13) |
| Medicaid expansions (I18) | private insurance coverage (I13) |
| Medicaid expansions (I18) | labor supply (J20) |
| Medicaid expansions (I18) | work effort (J22) |