Public health insurance, individual health, and entry into self-employment

Fossen, Frank M.; König, Johannes

doi:10.1007/s11187-017-9843-0

Cited by 18 publications

(24 citation statements)

References 50 publications

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“…Fairlie et al (2011) use a regression discontinuity approach to examine the effect of employer-provided health insurance on entrepreneurship in the elderly group at the retirement age cut-off of 65 and find an increase in the business ownership rate from just under to just above 65 years old. Outside the US, Fossen and König (2017) suggest that the public health insurance scheme in Germany, which is only mandatory for public sector workers, tends to decrease the probability of self-employment entry. They find that a cost difference in health insurance premium of 10 Euro per month can reduce the annual entry rate by 1.7 percent (Fossen and König, 2017).…”

Section: Introductionmentioning

confidence: 99%

Health insurance and self-employment transitions in Vietnam

Leopold

Groot

Tomini

et al. 2020

Journal of Small Business Management

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Health insurance can have important effects on self-employment and selfemployment transitions. However, there is a literature gap on the relationship between health insurance and self-employment in low and middle income countries, especially in the context of rapid expansion of health insurance in these countries. This paper examines this relationship in Vietnam with a focus on the comparison between the voluntary scheme for the informal sector (mostly self-employed workers) and the compulsory insurance for the formal sector (mostly wage workers). We employ a Probit model with selection on a panel from the Vietnamese Household Living Standards Surveys 2010-2014 to investigate the association between health insurance and self-employment entry and exit. We show that those with compulsory health insurance in Vietnam, the formal workers, are 10 percentage points less likely to enter self-employment compared to those having voluntary insurance. Regarding self-employment exit, people with compulsory insurance are more likely to exit selfemployment compared to those covered by voluntary insurance. However, the effect size is relatively small.

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Section: Introductionmentioning

confidence: 99%

Health insurance and self-employment transitions in Vietnam

Leopold

Groot

Tomini

et al. 2020

Journal of Small Business Management

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“…We found only two publications outside the US, one for Central Asia (Wagstaff and Moreno-Serra, 2015) and the other for Germany (Fossen and König, 2017). These two papers fall into the two literature strands described above.…”

Section: Labour Supply Effects Of Health Insurancementioning

confidence: 85%

“…These two papers fall into the two literature strands described above. Fossen and König (2017) find entrepreneurship lock in a public health insurance system in Germany where public health insurance is mandatory for public sector workers but not for the self-employed, whereas social health insurance expansions in Eastern Europe and Central Asia seem to increase self-employment.…”

Section: Labour Supply Effects Of Health Insurancementioning

confidence: 89%

“…Another economic concern when expanding health insurance is that health insurance in developed countries has been shown to impede self-employment (Zissimopoulos and Karoly, 2007;Fossen and König, 2017). Our third research question hence explores the relationship between health insurance and self-employment.…”

Section: Research Questionsmentioning

confidence: 99%

“…The high level of formal self-employment of the American economy is rather distinctive from the situation in low and middle income economies, which are often characterised by large proportions of informal self-employment. Importantly, the finding for Germany (Fossen and König, 2017) suggests that even in a country with universal health coverage, the health insurance differential between employment categories can negatively affect self-employment entry and hinder labour market efficiency. In other words, the entrepreneurship lock is not exclusively relevant for the American health system where health insurance is tied to employment.…”

Section: Introductionmentioning

confidence: 99%

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The implications of health insurance for the labour market and patient satisfaction with medical care in Vietnam

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