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Dental Insurance and Dental Care: the Role of Insurance and Income

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Author Info
Murat K. Munkin
Pravin K. Trivedi

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Abstract

This paper analyzes the effect of dental insurance on utilization of general dentist services by adult US population aged from 25 to 64 years. Our econometric framework accommdates endogeneity of insurance and the ordered nature of the measure of dental utilization. The study finds strong evidence of endogeneity of dental insurance to utilization and identifies interesting patterns of nonlinear dependencies between the dental insurance status and individual’s age and income. The calculated average treatment effect supports the claim of adverse selection into the treated (insured) state and indicates a strong positive incentives effect of dental insurance.

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File URL: http://www.york.ac.uk/res/herc/documents/wp/07_16.pdf
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Publisher Info
Paper provided by HEDG, c/o Department of Economics, University of York in its series Health, Econometrics and Data Group (HEDG) Working Papers with number 07/16.

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Date of creation: Jul 2007
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Handle: RePEc:yor:hectdg:07/16

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