Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/126262
Authors: 
Pei, Zhuan
Year of Publication: 
2015
Series/Report no.: 
Upjohn Institute Working Paper 15-234
Abstract: 
Conventional labor supply studies assume constant eligibility monitoring of income-tested program participants, but this is not true for most programs. For example, states can allow children to enroll in Medicaid/CHIP for 12 months regardless of family income changes. A long recertification period reduces monitoring costs but is predicted to induce program participation by temporary income adjustments. However, I find little evidence of strategic behavior from the 2001 and 2004 Survey of Income and Program Participation. Given the lack of dynamic responses, I propose a framework to compute the optimal recertification period and find 12 months to be its lower bound.
Subjects: 
Labor Supply
Medicaid
CHIP
Continuous Eligibility
Recertification
JEL: 
I38
J20
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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