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Heterogeneous effect of coinsurance rate on healthcare expenditure: generalized finite mixtures and matching estimators

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  • Galina Besstremyannaya

Abstract

The article proposes a combination of finite mixture models and matching estimators to account for heterogeneous and nonlinear effects of the coinsurance rate on healthcare expenditure. The analysis with panel data for adult Japanese consumers in 2008-2010 and for female consumers in 2000-2010 demonstrates the presence of subpopulations with high, medium and low healthcare expenditure, and subpopulation membership is explained by lifestyle variables. Generalized finite mixtures provide adequate fit compared to loglinear model. Conditional average treatment effect estimations reveal the existence of nonlinear effects of the coinsurance rate in the subpopulation with high expenditure.

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  • Galina Besstremyannaya, 2015. "Heterogeneous effect of coinsurance rate on healthcare expenditure: generalized finite mixtures and matching estimators," Applied Economics, Taylor & Francis Journals, vol. 47(58), pages 6331-6361, December.
    • Handle: RePEc:taf:applec:v:47:y:2015:i:58:p:6331-6361
    DOI: 10.1080/00036846.2015.1071470
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    1. Joshua D. Angrist & Jörn-Steffen Pischke, 2009. "Mostly Harmless Econometrics: An Empiricist's Companion," Economics Books, Princeton University Press, edition 1, number 8769.
    2. Masanori Hashimoto, 1990. "The Japanese Labor Market in a Comparative Perspective with the United States," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, number jlm, November.
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    Cited by:

    1. Besstremyannaya, Galina, 2017. "Measuring income equity in the demand for healthcare with finite mixture models," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 46, pages 5-29.

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