Does the ACA Medicaid Expansion Encourage Labor Market Exits of Older Workers?

Research output: Contribution to journalArticlepeer-review

Abstract

In this study, I examine the effects of the Affordable Care Act Medicaid expansion on the labor supply decisions of non-disabled, low-educated, childless adults ages 50-64. I employ a triple-differences (DDD) methodology, exploiting variation in individuals’ health insurance status and the expansion decisions of states. I find that with Medicaid expansion, insured workers without retirement health insurance (RHI) decreased full-time work by 7.06 percentage points relative to those with RHI and those without any employer-sponsored coverage at all. Among those no longer working full-time, 82 percent transitioned to complete retirement.

Original languageEnglish (US)
Pages (from-to)56-93
Number of pages38
JournalJournal of Labor Research
Volume44
Issue number1-2
DOIs
StatePublished - Jun 2023

Bibliographical note

Funding Information:
The Rand HRS file is derived from all waves of the HRS. It provides a cleaned and user-friendly version of the original data and produced by the RAND Center for the Study of Aging, with funding and support from the National Institute on Aging (NIA) and the Social Security Administration (SSA)

Publisher Copyright:
© 2023, The Author(s), under exclusive licence to Springer Science+Business Media, LLC, part of Springer Nature.

Keywords

  • Affordable care act
  • Labor force participation
  • Medicaid
  • Retirement

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