Working Paper: NBER ID: w9281
Authors: M. Kate Bundorf; Mark V. Pauly
Abstract: In this paper, we investigate the meaning of affordability' in the context of health insurance. Assessing the relationship between the affordability of coverage and the large number of uninsured in the U.S. is important for understanding the barriers to purchasing coverage for the uninsured and evaluating the role of policy in reducing this number. We propose several definitions of affordability and examine the implications of alternative definitions on estimates of the proportion of currently uninsured who are unable to afford coverage. We find that, depending on the definition, health insurance was affordable to between one-quarter and three-quarters of the uninsured in 2000.
Keywords: Health insurance; Affordability; Uninsured
JEL Codes: I1
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Definition of affordability (G52) | Estimates of uninsured individuals who can afford health insurance (G52) |
| Income (D31) | Likelihood of being uninsured (I13) |
| Income (D31) | Insurance purchasing decisions (G52) |
| Tastes and preferences (D11) | Insurance purchasing decisions (G52) |
| Uninsured afforders (I13) | Insurance purchasing behavior (G52) |
| Insured nonafforders (G52) | Income for other necessities (P46) |