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Gender Differences In The Valuation Of Employer-Provided Health Insurance

Author

Listed:
  • NASSER DANESHVARY
  • TERRENCE M. CLAURETIE

Abstract

"We present evidence that accurate estimates of the labor-earning/employer-provided health insurance trade-off must account for two different effects: the heterogeneity of jobs and the endogeneity of health insurance. The size of the trade-off depends on employees' contribution to premiums, health-care needs, and valuation of insurance. We use Medical Expenditure Panel Survey data and instrumental variables/two-stage least squares. On average, workers accept about 16.5% to 20% lower earnings in return for insurance, and married women value insurance by about 3.5 percentage points more than married men, explaining about 3% of the gender-earning differentials. Health insurance does not contribute to the unexplained portion of the gender-pay gap. "("JEL "J3, J7, I1) Copyright 2007 Western Economic Association International.

Suggested Citation

  • Nasser Daneshvary & Terrence M. Clauretie, 2007. "Gender Differences In The Valuation Of Employer-Provided Health Insurance," Economic Inquiry, Western Economic Association International, vol. 45(4), pages 800-816, October.
  • Handle: RePEc:bla:ecinqu:v:45:y:2007:i:4:p:800-816
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    References listed on IDEAS

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    11. David Neumark, 1988. "Employers' Discriminatory Behavior and the Estimation of Wage Discrimination," Journal of Human Resources, University of Wisconsin Press, vol. 23(3), pages 279-295.
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    Cited by:

    1. Mary Riddel & Sonja Kolstoe, 2013. "Heterogeneity in life-duration preferences: Are risky recreationists really more risk loving?," Journal of Risk and Uncertainty, Springer, vol. 46(2), pages 191-213, April.
    2. Joanna N. Lahey, 2012. "The efficiency of a groupā€specific mandated benefit revisited: The effect of infertility mandates," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 31(1), pages 63-92, December.
    3. Cowan, Benjamin & Schwab, Benjamin, 2016. "Employer-sponsored health insurance and the gender wage gap," Journal of Health Economics, Elsevier, vol. 45(C), pages 103-114.
    4. repec:pal:jorsoc:v:61:y:2010:i:4:d:10.1057_jors.2009.11 is not listed on IDEAS

    More about this item

    JEL classification:

    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • J7 - Labor and Demographic Economics - - Labor Discrimination
    • I1 - Health, Education, and Welfare - - Health

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