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How do changes in income, employment and health insurance affect family mental health spending?

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Listed:
  • Irina B. Grafova

    (Rutgers University School of Public Health)

  • Alan C. Monheit

    (Rutgers University School of Public Health and National Bureau of Economic Research)

  • Rizie Kumar

    (Rutgers University School of Public Health)

Abstract

Using eight two-year panels from the Medical Expenditure Panel Survey data for the period 2004 to 2012, we examine the effect of economic shocks on mental health spending by families with children. Estimating two-part expenditure models within the correlated random effects framework, we find that employment shocks have a greater impact on mental health spending than do income or health insurance shocks. Our estimates reveal that employment gains are associated with a lower likelihood of family mental health services utilization. By contrast employment losses are positively related to an increase in total family mental health. We do not detect a link between economic shocks and mental health spending on behalf of fathers.

Suggested Citation

  • Irina B. Grafova & Alan C. Monheit & Rizie Kumar, 2020. "How do changes in income, employment and health insurance affect family mental health spending?," Review of Economics of the Household, Springer, vol. 18(1), pages 239-263, March.
    • Handle: RePEc:kap:reveho:v:18:y:2020:i:1:d:10.1007_s11150-018-9436-y
    DOI: 10.1007/s11150-018-9436-y
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    Cited by:

    1. Irina B. Grafova & Alan C. Monheit & Rizie Kumar, 2020. "How Do Economic Shocks Affect Family Health Care Spending Burdens?," Journal of Family and Economic Issues, Springer, vol. 41(3), pages 442-457, September.
    2. Irina B. Grafova & Alan C. Monheit & Rizie Kumar, 2022. "Income Shocks and Out-of-Pocket Health Care Spending: Implications for Single-Mother Families," Journal of Family and Economic Issues, Springer, vol. 43(3), pages 489-500, September.

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    More about this item

    Keywords

    Mental health; Mental health spending; Economic shocks; Family financial status;
    All these keywords.

    JEL classification:

    • I1 - Health, Education, and Welfare - - Health
    • D1 - Microeconomics - - Household Behavior

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