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Does the ACA Medicaid Expansion Encourage Labor Market Exits of Older Workers?

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  • Sezen O. Onal

    (University of Minnesota School of Public Health)

Abstract

In this study, I examine the effects of the Affordable Care Act Medicaid expansion on the labor supply decisions of non-disabled, low-educated, childless adults ages 50-64. I employ a triple-differences (DDD) methodology, exploiting variation in individuals’ health insurance status and the expansion decisions of states. I find that with Medicaid expansion, insured workers without retirement health insurance (RHI) decreased full-time work by 7.06 percentage points relative to those with RHI and those without any employer-sponsored coverage at all. Among those no longer working full-time, 82 percent transitioned to complete retirement.

Suggested Citation

  • Sezen O. Onal, 2023. "Does the ACA Medicaid Expansion Encourage Labor Market Exits of Older Workers?," Journal of Labor Research, Springer, vol. 44(1), pages 56-93, June.
    • Handle: RePEc:spr:jlabre:v:44:y:2023:i:1:d:10.1007_s12122-023-09342-9
    DOI: 10.1007/s12122-023-09342-9
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    More about this item

    Keywords

    Affordable care act; Medicaid; Retirement; Labor force participation;
    All these keywords.

    JEL classification:

    • I13 - Health, Education, and Welfare - - Health - - - Health Insurance, Public and Private
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • J2 - Labor and Demographic Economics - - Demand and Supply of Labor
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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