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Tax Incentives as a Solution to the Uninsured: Evidence from the Self-Employed

Author

Listed:
  • Tracy L. Regan

    () (Department of Economics, University of Miami)

  • Gulcin Gumus

    () (Department of Health and Policy & Management and Department of Economics, Florida International University)

Abstract

Between 1996 and 2003, a series of amendments were made to the Tax Reform Act of 1986 that gradually increased the tax credit for health insurance purchases by the self- employed from 25 to 100 percent. We study how these changes have in uenced the likelihood that a self-employed person has health insurance coverage as the policy holder. The Cur- rent Population Survey is used to construct a data set corresponding to 1995-2005. Both the di erence-in-di erence and price elasticity of demand estimates suggest that the series of tax credits did not provide sucient incentives for the self-employed to obtain health insurance coverage.

Suggested Citation

  • Tracy L. Regan & Gulcin Gumus, 2006. "Tax Incentives as a Solution to the Uninsured: Evidence from the Self-Employed," Working Papers 0709, University of Miami, Department of Economics, revised Oct 2007.
  • Handle: RePEc:mia:wpaper:0709
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    File URL: http://moya.bus.miami.edu/~tregan/Insurance.pdf
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Fossen, Frank M. & König, Johannes, 2015. "Public health insurance and entry into self-employment," Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 112934, Verein für Socialpolitik / German Economic Association.
    2. Gulcin Gumus & Tracy Regan, 2007. "Self-Employment and the Role of Health Insurance," Working Papers 0910, University of Miami, Department of Economics.
    3. repec:kap:sbusec:v:49:y:2017:i:3:d:10.1007_s11187-017-9843-0 is not listed on IDEAS
    4. Fairlie, Robert W. & Kapur, Kanika & Gates, Susan, 2011. "Is employer-based health insurance a barrier to entrepreneurship?," Journal of Health Economics, Elsevier, vol. 30(1), pages 146-162, January.
    5. Velamuri, Malathi, 2009. "Taxes, Health Insurance and Women’s Self-Employment," MPRA Paper 15731, University Library of Munich, Germany.
    6. Heim, Bradley T. & Lurie, Ithai Z., 2010. "The effect of self-employed health insurance subsidies on self-employment," Journal of Public Economics, Elsevier, vol. 94(11-12), pages 995-1007, December.
    7. Heim, Bradley T. & Lurie, Ithai Z., 2009. "Do increased premium subsidies affect how much health insurance is purchased? Evidence from the self-employed," Journal of Health Economics, Elsevier, vol. 28(6), pages 1197-1210, December.

    More about this item

    Keywords

    Health insurance; self-employment; elasticity; CPS;

    JEL classification:

    • J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
    • J48 - Labor and Demographic Economics - - Particular Labor Markets - - - Particular Labor Markets; Public Policy
    • I11 - Health, Education, and Welfare - - Health - - - Analysis of Health Care Markets

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