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A discrete choice decomposition analysis of racial and ethnic differences in children's health insurance coverage

  • Pylypchuk, Yuriy
  • Selden, Thomas M.

This paper presents a multivariate decomposition analysis of racial and ethnic differences in children's health insurance using the 2004-2005 Medical Expenditure Panel Survey. We present two methodological contributions. First, we adapt a recently-developed matching decomposition method for use with sample-weighted data. Second, we develop a fully nonparametric approach that implements decomposition through weight adjustments. Accounting for the black-white wealth gap: a nonparametric approach. Journal of the American Statistical Association 97, 663-673]. Differences in observed characteristics explain large percentages of racial and ethnic coverage differences. Important contributors include poverty levels, parent education, family structure (for black children), and immigration-related factors (for Hispanic children). We also examine racial and ethnic differences in parent offers of employer-sponsored insurance and in children's coverage conditional on having a parent offer. Comparison of our linear, nonlinear, and nonparametric results suggests researchers may face a trade-off between robustness and precision when selecting among decomposition methodologies for discrete outcomes.

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Article provided by Elsevier in its journal Journal of Health Economics.

Volume (Year): 27 (2008)
Issue (Month): 4 (July)
Pages: 1109-1128

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Handle: RePEc:eee:jhecon:v:27:y:2008:i:4:p:1109-1128
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/505560

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  1. Janet Currie, 1995. "Do Children of Immigrants Make Differential Use of Public Health Insurance?," NBER Working Papers 5388, National Bureau of Economic Research, Inc.
  2. Yun, Myeong-Su, 2003. "Decomposing Differences in the First Moment," IZA Discussion Papers 877, Institute for the Study of Labor (IZA).
  3. Robert W. Fairlie, 2003. "An Extension of the Blinder-Oaxaca Decomposition Technique to Logit and Probit Models," Working Papers 873, Economic Growth Center, Yale University.
  4. John DiNardo & Nicole M. Fortin & Thomas Lemieux, 1995. "Labor Market Institutions and the Distribution of Wages, 1973-1992: A Semiparametric Approach," NBER Working Papers 5093, National Bureau of Economic Research, Inc.
  5. Yun, Myeong-Su, 2000. "Decomposition Analysis for a Binary Choice Model," IZA Discussion Papers 145, Institute for the Study of Labor (IZA).
  6. Gomulka, Joanna & Stern, Nicholas, 1990. "The Employment of Married Women in the United Kingdom 1970-83," Economica, London School of Economics and Political Science, vol. 57(226), pages 171-99, May.
  7. Arie Kapteyn & James P. Smith & Arthur van Soest, 2004. "Self-reported Work Disability in the US and The Netherlands," Working Papers 206, RAND Corporation.
  8. Alan S. Blinder, 1973. "Wage Discrimination: Reduced Form and Structural Estimates," Journal of Human Resources, University of Wisconsin Press, vol. 8(4), pages 436-455.
  9. Fairlie, Robert, 2014. "The Absence of the African-American Owned Business: An Analysis of the Dynamics of Self-Employment," Santa Cruz Department of Economics, Working Paper Series qt49c4n0fg, Department of Economics, UC Santa Cruz.
  10. Barsky R. & Bound J. & Charles K.K. & Lupton J.P., 2002. "Accounting for the Black-White Wealth Gap: A Nonparametric Approach," Journal of the American Statistical Association, American Statistical Association, vol. 97, pages 663-673, September.
  11. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
  12. Shelley White-Means & Joni Hersch, 2005. "Health Insurance Disparities in Traditional and Contingent/Alternative Employment," International Journal of Health Economics and Management, Springer, vol. 5(4), pages 351-368, December.
  13. Erin R. Hamilton & Robert A. Hummer & Xiuhong H. You & Yolanda C. Padilla, 2006. "Health Insurance and Health-Care Utilization of U.S.-Born Mexican-American Children," Social Science Quarterly, Southwestern Social Science Association, vol. 87(s1), pages 1280-1294.
  14. repec:mpr:mprres:5096 is not listed on IDEAS
  15. Janet Currie & Duncan Thomas, 1995. "Medical Care for Children: Public Insurance, Private Insurance, and Racial Differences in Utilization," Journal of Human Resources, University of Wisconsin Press, vol. 30(1), pages 135-162.
  16. Irena Dushi & Marjorie Honig, 2005. "Offers or Take-up: Explaining Minorities’ Lower Health Insurance Coverage," Economics Working Paper Archive at Hunter College 412, Hunter College Department of Economics.
  17. Erin R. Hamilton & Robert A. Hummer & Xiuhong H. You & Yolanda C. Padilla, 2006. "Health Insurance and Health-Care Utilization of U.S.-Born Mexican-American Children," Social Science Quarterly, Southwestern Social Science Association, vol. 87(5), pages 1280-1294.
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