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Effects of health insurance coverage on household financial portfolio: Evidence from the Affordable Care Act

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  • Lee, Daeyong

Abstract

This article examines the effects of the health insurance coverage mandate for dependents on household financial portfolio decisions by focusing on the Affordable Care Act of 2010. Using the Survey of Income and Program Participation data, the author finds that the dependent coverage mandate significantly increased (decreased) the share of stocks (bonds and other interest-accruing assets) by 2.5 (1.3 and 1.1) percentage points for households having both parental employer-sponsored health insurance and dependent children aged 19 to 25 years.

Suggested Citation

  • Lee, Daeyong, 2018. "Effects of health insurance coverage on household financial portfolio: Evidence from the Affordable Care Act," Economics Letters, Elsevier, vol. 171(C), pages 176-179.
    • Handle: RePEc:eee:ecolet:v:171:y:2018:i:c:p:176-179
    DOI: 10.1016/j.econlet.2018.07.027
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    References listed on IDEAS

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    Cited by:

    1. Jing Jian Xiao & Chunsheng Tao, 2020. "Consumer finance/household finance: the definition and scope," China Finance Review International, Emerald Group Publishing Limited, vol. 11(1), pages 1-25, June.
    2. Lee, Kiryoung & Jeon, Yoontae & Jo, Chanik, 2020. "Chinese economic policy uncertainty and U.S. households' portfolio decisions," Pacific-Basin Finance Journal, Elsevier, vol. 64(C).

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    More about this item

    Keywords

    Health insurance; Financial portfolio; Health-related risk; Investment risk; Dependent coverage mandate; Affordable Care Act;
    All these keywords.

    JEL classification:

    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance

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