Arbeitspapier

The value of health insurance: A household job search approach

Do households value access to free health insurance when making labor supply decisions? We answer this question using the introduction of universal health insurance in Mexico, the Seguro Popular (SP), in 2002. The SP targeted individuals not covered by Social Security and broke the link between access to health care and job contract. We start by using the rollout of SP across municipalities in a differences-indifferences approach, and find an increase in informality of 4% among low-educated families with children. We then develop and estimate a household search model that incorporates the pre-reform valuation of formal sector amenities relative to the alternatives (informal sector and non-employment) and the value of SP. The estimated value of the health insurance coverage provided by SP is below the government's cost of the program, and the corresponding utility gain is, at most, 0.56 per each peso spent.

Sprache
Englisch

Erschienen in
Series: IFS Working Papers ; No. W18/20

Klassifikation
Wirtschaft
Unemployment: Models, Duration, Incidence, and Job Search
Household Behavior: General
Health Insurance, Public and Private
Informal Labor Markets
Thema
Search
Household behavior
Health insurance
Informality
Unemployment

Ereignis
Geistige Schöpfung
(wer)
Conti, Gabriella
Ginja, Rita
Narita, Renata Del Tedesco
Ereignis
Veröffentlichung
(wer)
Institute for Fiscal Studies (IFS)
(wo)
London
(wann)
2018

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Conti, Gabriella
  • Ginja, Rita
  • Narita, Renata Del Tedesco
  • Institute for Fiscal Studies (IFS)

Entstanden

  • 2018

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