Medicaid Benefit Generosity and Labor Market Outcomes: Evidence from Medicaid Adult Vision Benefits

74 Pages Posted: 19 Jan 2018  

Michel Boudreaux

University of Maryland, College Park

Brandy J. Lipton

San Diego State University

Date Written: January 12, 2018

Abstract

Previous work suggests that Medicaid eligibility expansions may lead to declines in labor market activity. This paper explores the related, but novel question of whether variation in Medicaid benefit generosity alters employment outcomes. We consider adult vision benefits as a case study. Our findings suggest that vision benefits have a net positive effect on intensive margin measures including hours worked and occupational skill requirements, but no significant effect on the likelihood of being employed. These results indicate that Medicaid’s effect on labor market activity is sensitive to the set of covered services.

Keywords: Health insurance, Medicaid, Employment, Vision care

JEL Classification: I13, I18, J22, H75

Suggested Citation

Boudreaux, Michel and Lipton, Brandy J., Medicaid Benefit Generosity and Labor Market Outcomes: Evidence from Medicaid Adult Vision Benefits (January 12, 2018). Available at SSRN: https://ssrn.com/abstract=3101045 or http://dx.doi.org/10.2139/ssrn.3101045

Michel Boudreaux

University of Maryland, College Park ( email )

College Park, MD 20742
United States

Brandy J. Lipton (Contact Author)

San Diego State University ( email )

San Diego, CA 92182-0763
United States

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