Job lock : evidence from a regression discontinuity design

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Show simple item record Fairlie, Robert W. Kapur, Kanika Gates, Susan M. 2012-05-22T15:06:27Z 2012-05-22T15:06:27Z 2012-04
dc.identifier.other 201215 en
dc.description.abstract Employer-provided health insurance in the United States is suspected of restricting job mobility, resulting in “job lock.” Previous research on job lock finds mixed results using several methodologies. We take a new approach to examine whether employer-based health insurance discourages job mobility by exploiting the discontinuity created at age 65 through the qualification for Medicare. Using a novel procedure for identifying age in months from matched monthly CPS data and a relatively unexplored administration measure of job mobility, we compare job mobility among male workers in the months just prior to turning age 65 to job mobility in the months just after turning age 65. We find no evidence that job mobility increases at the age 65 threshold when Medicare eligibility starts. Our results are robust to different bandwidths, non-linear age profiles, and frequency of age measurement. The upper bounds of 95 percent confidence intervals for these estimates can rule out the existence of any job lock in some cases, and in most cases can rule out the large levels of job lock found in many previous studies in the literature. We also do not find evidence that other factors such as retirement, reduction in hours worked, social security eligibility, pension eligibility, and sample changes confound the results on job mobility in the month individuals turn 65. en
dc.description.sponsorship Other funder en
dc.format.extent 325126 bytes
dc.format.mimetype application/pdf
dc.language.iso en en
dc.publisher University College Dublin. School of Economics en
dc.relation.ispartofseries UCD Centre for Economic Research Working Paper Series en
dc.relation.ispartofseries WP12/15 en
dc.relation.requires Economists Online Collection & RePEc en
dc.subject Job lock en
dc.subject Health insurance en
dc.subject Medicare en
dc.subject.lcsh Occupational mobility--United States en
dc.subject.lcsh Employer-sponsored health insurance--United States en
dc.subject.lcsh Medicare en
dc.title Job lock : evidence from a regression discontinuity design en
dc.type Working Paper en
dc.internal.availability Full text available en
dc.internal.webversions en
dc.status Not peer reviewed en
dc.neeo.contributor Fairlie|Robert W.|aut| en
dc.neeo.contributor Kapur|Kanika|aut|UCD0012 en
dc.neeo.contributor Gates|Susan M.|aut| en
dc.description.othersponsorship Kauffman-RAND Institute for Entrepreneurship Public Policy through a grant from the Ewing Marion Kauffman Foundation en
dc.description.admin ti, sp, ab TS 24.04.12 en

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