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Mulling over Massachusetts: Health Insurance Mandates and Entrepreneurs

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  • Scott Jackson

Abstract

The author provides preliminary and provocative results regarding the impact of health insurance mandates on the propensity of entrepreneurs to start new organizations. In keeping with a well–observed propensity for individuals to adjust their economic calculations in anticipation of future costs/benefits, the evidence suggests that when confronted with such mandates, potential entrepreneurs may either abandon entrepreneurial ambitions or seek to minimize mandate costs through jurisdictional arbitrage with appreciable implications for state and national level approaches to health care, health insurance provision, and workers.

Suggested Citation

  • Scott Jackson, 2010. "Mulling over Massachusetts: Health Insurance Mandates and Entrepreneurs," Entrepreneurship Theory and Practice, , vol. 34(5), pages 909-932, September.
    • Handle: RePEc:sae:entthe:v:34:y:2010:i:5:p:909-932
    DOI: 10.1111/j.1540-6520.2009.00351.x
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    Cited by:

    1. Fossen, Frank M. & König, Johannes, 2015. "Public health insurance and entry into self-employment," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 112934, Verein für Socialpolitik / German Economic Association.
    2. Kwapisz, Agnieszka, 2020. "Health insurance coverage and sources of advice in entrepreneurship: Gender differences," Journal of Business Venturing Insights, Elsevier, vol. 14(C).
    3. Debdeep Chattopadhyay, 2023. "Did the Massachusetts Health Reform Program increase self-employment?," Empirical Economics, Springer, vol. 65(3), pages 1309-1344, September.
    4. Kollmann, Tobias & Stöckmann, Christoph & Kensbock, Julia M., 2017. "Fear of failure as a mediator of the relationship between obstacles and nascent entrepreneurial activity—An experimental approach," Journal of Business Venturing, Elsevier, vol. 32(3), pages 280-301.
    5. Chu-Shiu Li & Chwen-Chi Liu & Yu-Chen Kuo & Chen-Sheng Yang, 2013. "Health insurance provision and labor contracts for small firms," Small Business Economics, Springer, vol. 40(2), pages 325-334, February.
    6. Jacqueline Chattopadhyay, 2018. "State Health Insurance Regulation and Self-Employment Rates After the Great Recession: The Role of Guaranteed Issue Mandates," Economic Development Quarterly, , vol. 32(1), pages 78-92, February.
    7. Yu-Chen Kuo & Jia-Huey Lin, 2020. "Picking the lock: how universal healthcare programs influence entrepreneurial activities," Small Business Economics, Springer, vol. 54(1), pages 3-24, January.
    8. Frank M. Fossen & Johannes König, 2017. "Public health insurance, individual health, and entry into self-employment," Small Business Economics, Springer, vol. 49(3), pages 647-669, October.
    9. Gumus, Gulcin & Regan, Tracy L., 2015. "Self-employment and the role of health insurance in the U.S," Journal of Business Venturing, Elsevier, vol. 30(3), pages 357-374.

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