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Article: Health insurance and individual labor market decisions.
- Article from:
- NBER Reporter
- Article date:
- December 22, 1994
- Author:
CopyrightCOPYRIGHT 1994 National Bureau of Economic Research, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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It is well accepted that health insurance distorts the demand for medical services. My research explores a further margin along which health insurance may affect behavior: by changing the labor market decisions of individuals. This distortion arises because in the current system of provision of health insurance in the United States, employers are the primary source of coverage for all but the elderly. As rising medical costs make health insurance an increasingly valuable component of employee compensation, we should expect coverage to be an important consideration in the labor market decisions of individuals.
There has been little previous research on the labor market ...