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Eastern Economic Journal

, Volume 45, Issue 1, pp 34–57 | Cite as

The Impact of Medicaid Expansion on Household Consumption

  • Helen LevyEmail author
  • Thomas Buchmueller
  • Sayeh Nikpay
Original Article

Abstract

We use data from the Consumer Expenditure Survey for 2010 through 2016 to compare trends in insurance coverage and consumption for household that did and did not expand eligibility for Medicaid under the Affordable Care Act in 2014. Consistent with earlier studies, we find significant increases in Medicaid coverage in expansion relative to non-expansion states, and we find small but significant reductions in quarterly health spending of about $60, or just less than one-quarter of the baseline value. We find no significant change in non-health consumption as a result of Medicaid expansion.

Keywords

Medicaid Health reform Consumption Health spending 

JEL Classification

I38 (Government Policy/Provision and Effects of Welfare Programs) I13 (Health Insurance Public and Private) 

Notes

Acknowledgements

Financial support for this project from the Russell Sage Foundation is very gratefully acknowledged.

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Copyright information

© EEA 2018

Authors and Affiliations

  1. 1.Institute for Social ResearchUniversity of MichiganAnn ArborUSA
  2. 2.Ross School of Business, University of MichiganAnn ArborUSA
  3. 3.Vanderbilt University Medical CenterNashvilleUSA

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