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How Does Basic Income for the Elderly Affect Health of the Self-employed?

Author

Listed:
  • Emma Aguila
  • Raquel Fonseca

Abstract

This study explores how basic income for elderly (non-contributory pension program) affects the health of self-employed and salaried workers differently, which is particularly interesting given the greater social protection and lower income volatility of the latter. The study uses a cluster-randomized controlled trial that provides supplemental incomes to adults aged 70 or older in two towns in Yucatan, Mexico, and compares the effects of supplemental income over two waves for Valladolid (where eligible individuals received a monthly income supplement throughout the analysis period) and Motul (a demographically matched control town). The results indicate that self-employed workers experience a decrease in anemia, an improvement in peak expiratory flow, and better health care use and well-being. In contrast, salaried workers' health outcomes show no significant effect from the program. The program improves food availability for both self-employed and salaried workers, but its impact on food availability is stronger for self-employed workers. Cette étude examine comment le revenu de base pour les personnes âgées (programme de pension non contributif) affecte différemment la santé des travailleurs indépendants et des travailleurs salariés, ce qui est particulièrement intéressant compte tenu de la plus grande protection sociale et de la plus faible volatilité des revenus de ces derniers. L'étude utilise un essai contrôlé randomisé en grappes qui fournit des revenus supplémentaires aux adultes âgés de 70 ans ou plus dans deux villes du Yucatan, au Mexique, et compare les effets du revenu supplémentaire sur deux vagues pour Valladolid (où les personnes éligibles ont reçu un supplément de revenu mensuel tout au long de la période d'analyse) et Motul (une ville de contrôle appariée sur le plan démographique). Les résultats indiquent que les travailleurs indépendants connaissent une diminution de l'anémie, une amélioration du débit expiratoire maximal, ainsi qu'une meilleure utilisation des soins de santé et un meilleur bien-être. En revanche, le programme n'a pas eu d'effet significatif sur la santé des travailleurs salariés. Le programme améliore la disponibilité alimentaire tant pour les travailleurs indépendants que pour les salariés, mais son impact sur la disponibilité alimentaire est plus important pour les travailleurs indépendants.

Suggested Citation

  • Emma Aguila & Raquel Fonseca, 2024. "How Does Basic Income for the Elderly Affect Health of the Self-employed?," CIRANO Working Papers 2024s-04, CIRANO.
  • Handle: RePEc:cir:cirwor:2024s-04
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    File URL: https://cirano.qc.ca/files/publications/2024s-04.pdf
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    More about this item

    Keywords

    Supplemental income; elderly; Mexico; health; lifetime occupation; Revenu complémentaire; personnes âgées; Mexique; santé; occupation à vie;
    All these keywords.

    JEL classification:

    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination

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