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The effect of eliminating health user fees on adult health and labor supply in Jamaica

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  • Beuermann, Diether W.
  • Pecha, Camilo J.

Abstract

This paper estimates the effects of Jamaica’s elimination of user fees in public health facilities on the health and labor supply of working-age individuals. The policy change affected about 83 percent of the population, that is, those who lack health insurance and mainly rely on the public health system. The analysis finds no effects among individuals younger than 40 years old. However, for individuals within the 40–64 age range, the analysis finds that the policy reduced the number of lost days due to illness by 44.3 percent. No effects were found on employment or labor formality at the extensive margin. However, consistent with a reduced number of lost days, the analysis identified a positive effect on labor supply at the intensive margin equivalent to 3.04 weekly hours. Finally, overall benefits are relatively stronger for women, thereby reducing the observed baseline disadvantages relative to men.

Suggested Citation

  • Beuermann, Diether W. & Pecha, Camilo J., 2020. "The effect of eliminating health user fees on adult health and labor supply in Jamaica," Journal of Health Economics, Elsevier, vol. 73(C).
    • Handle: RePEc:eee:jhecon:v:73:y:2020:i:c:s0167629618310415
    DOI: 10.1016/j.jhealeco.2020.102355
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    References listed on IDEAS

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    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Chris Sampson’s journal round-up for 5th October 2020
      by Chris Sampson in The Academic Health Economists' Blog on 2020-10-05 11:00:05

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    Cited by:

    1. Lingchen Liu & Renji Sun & Yan Gu & Kung Cheng Ho, 2020. "The Effect of China’s Health Insurance on the Labor Supply of Middle-aged and Elderly Farmers," IJERPH, MDPI, vol. 17(18), pages 1-23, September.
    2. Alberto Posso & Udeni De Silva Perera & Ankita Mishra, 2021. "Community‐level health programs and child labor: Evidence from Ethiopia," Health Economics, John Wiley & Sons, Ltd., vol. 30(12), pages 2995-3015, December.
    3. Pinna Pintor, Matteo & Fumagalli, Elena & Suhrcke, Marc, 2024. "The impact of health on labour market outcomes: A rapid systematic review," Health Policy, Elsevier, vol. 143(C).
    4. Oconnor, Christopher, 2024. "Do conditional cash transfers create resilience against poverty? Long-run evidence from Jamaica," World Development, Elsevier, vol. 176(C).

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    More about this item

    JEL classification:

    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • I1 - Health, Education, and Welfare - - Health
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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