Tax policy and the demand for health insurance.
Estimates of the price and income elasticities of demand for health insurance are derived from econometric estimates of the parameters of a discrete choice model of health insurance demand using data from a survey of plan choices among a sample of federal government employees. The estimated income elasticity (+0.01) is similar to most previous estimates. The estimated price elasticity (-0.16) is in absolute value much less than the earlier previous estimates and somewhat less than the more recent previous estimates. Possible causes of these differences in price elasticity estimates are discussed.
D003256:Community Participation / Q000191:economics; D006264:Health Benefit Plans, Employee / Q000191:economics*; D006296:Health Services / Q000706:statistics & numerical data*; D007348:Insurance, Health / Q000191:economics*; D008962:Models, Theoretical; D012044:Regression Analysis; D013660:Taxes; D014481:United States