NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

The Role of Retiree Health Insurance in the Employment Behavior of Older Men

David M. Blau, Donna B. Gilleskie

NBER Working Paper No. 10100
Issued in November 2003
NBER Program(s):   AP   HC   LS

We model the employment and medical care decisions of older men who face health risk. The budget constraint incorporates detailed characteristics of health insurance as well as Social Security and private pensions. A man whose health insurance is tied to continued employment with his current employer faces the risk of large medical expenditures in the event of an adverse health shock if he retires before becoming eligible for Medicare at age 65. A man whose employer provides retiree health insurance or who has access to other health insurance not tied to his employment decision (e.g., from his wife) can retire before age 65 without consequences for his health insurance coverage. We use data from the Health and Retirement Survey to estimate the parameters of the model using structural methods. Simulations based on the estimates imply that changes in health insurance, including access and restrictions to retiree health insurance and Medicare have a modest impact on employment behavior among older males.

download in pdf format
   (388 K)

email paper

The NBER Bulletin on Aging and Health provides summaries of publications like this.  You can sign up to receive the NBER Bulletin on Aging and Health by email.

This paper is available as PDF (388 K) or via email.

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w10100

Published: David M. Blau & Donna B. Gilleskie, 2008. "The Role Of Retiree Health Insurance In The Employment Behavior Of Older Men," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 49(2), pages 475-514, 05. citation courtesy of

Users who downloaded this paper also downloaded these:
Blau and Gilleskie w5948 Retiree Health Insurance and the Labor Force Behavior of Older Men in the 1990s
Cutler and Zeckhauser w6107 Adverse Selection in Health Insurance
Gustman and Steinmeier w9183 The Social Security Early Entitlement Age in a Structural Model of Retirement and Wealth
Bound, Schoenbaum, Stinebrickner, and Waidmann w6777 The Dynamic Effects of Health on the Labor Force Transitions of Older Workers
Freeman w10000 Trade Wars: The Exaggerated Impact of Trade in Economic Debate
 
Publications
Activities
Meetings
NBER Videos
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us