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Did the Affordable Care Act Young Adult Provision Affect Labor Market Outcomes? Analysis Using Tax Data

Author: Bradley Heim; Ithai Lurie; Kosali Simon; National Bureau of Economic Research.
Publisher: Cambridge, Mass. National Bureau of Economic Research 2017.
Series: Working paper series (National Bureau of Economic Research), no. w23471.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Summary:
We study the impact of the Affordable Care Act (ACA) young adult dependent coverage requirement on labor market-related outcomes, including measures of employment status, job characteristics, and post-secondary education, using a data set of U.S. tax records spanning 2008-2013. We find that the ACA provision did not result in substantial changes in labor market outcomes. Our results show that employment and  Read more...
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Details

Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Bradley Heim; Ithai Lurie; Kosali Simon; National Bureau of Economic Research.
OCLC Number: 1012413612
Notes: June 2017.
Description: 1 online resource
Series Title: Working paper series (National Bureau of Economic Research), no. w23471.
Responsibility: Bradley Heim, Ithai Lurie, Kosali Simon.

Abstract:

We study the impact of the Affordable Care Act (ACA) young adult dependent coverage requirement on labor market-related outcomes, including measures of employment status, job characteristics, and post-secondary education, using a data set of U.S. tax records spanning 2008-2013. We find that the ACA provision did not result in substantial changes in labor market outcomes. Our results show that employment and self-employment were not statistically significantly affected. While we find some evidence of increased likelihood of young adults earning lower wages, not receiving fringe benefits, enrolling as full-time or graduate students, and young men being self-employed, the magnitudes imply extremely small impacts on these outcomes in absolute terms and when compared to other estimates in the literature. These results are consistent with health insurance being less salient to young adults when making labor market decisions compared to other populations.

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