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Quantifying the Benefits of Social Insurance: Unemployment Insurance and Health

Author

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  • Elira Kuka

    (Southern Methodist University)

Abstract

While the Unemployment Insurance (UI) program is one of the largest safety net programs in the U.S., research on its benefits is limited. This paper exploits plausibly exogenous changes in state UI laws to empirically estimate whether UI generosity mitigates any of the previously documented negative health effects of job loss. The results show higher UI generosity increases health insurance coverage and utilization, with stronger effects during periods of high unemployment rates. During such periods, higher UI generosity also leads to improved self-reported health. Finally, I find no effects on risky behaviors nor on health conditions.

Suggested Citation

  • Elira Kuka, 2018. "Quantifying the Benefits of Social Insurance: Unemployment Insurance and Health," Departmental Working Papers 1808, Southern Methodist University, Department of Economics.
    • Handle: RePEc:smu:ecowpa:1808
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    File URL: https://ftp1.economics.smu.edu/WorkingPapers/2018/KUKA/KUKA-2018-10.pdf
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    JEL classification:

    • I1 - Health, Education, and Welfare - - Health

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