Year

2014

Series

Upjohn Institute working paper ; 15-222

DOI

10.17848/wp15-222

Abstract

The Patient Protection and Affordable Care Act expands Medicaid and introduces health insurance subsidies, thereby changing work incentives for single mothers. To undertake an ex ante policy evaluation of the employment effects of the PPACA, I structurally estimate a model of labor supply and health insurance choice exploiting existing variation in Medicaid policies. Simulations show that single mothers increase their labor supply at the extensive and the intensive margin by six and five percent, respectively. The PPACA leads to crowding-out of employer-sponsored health insurance of about 40 percent and increases single mothers' welfare by about $190 per month.

Issue Date

May 27, 2014

Sponsorship

W.E. Upjohn Institute for Employment Research Early Career Research Award 13-141-08

Subject Areas

LABOR MARKET ISSUES; Wages, health insurance and other benefits; Health insurance; UNEMPLOYMENT, DISABILITY, and INCOME SUPPORT PROGRAMS; Poverty and income support; Low wage labor markets

Share

Get in touch with the expert

Want to arrange to discuss this work with the author(s)? Contact our .

COinS
 

Citation

Pohl, Vincent. 2014. "Medicaid and the Labor Supply of Single Mothers: Implications for Health Care Reform." Upjohn Institute Working Paper 15-222. Kalamazoo, MI: W.E. Upjohn Institute for Employment Research. https://doi.org/10.17848/wp15-222