Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/46157 
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dc.contributor.authorFairlie, Robert W.en
dc.contributor.authorKapur, Kanikaen
dc.contributor.authorGates, Susanen
dc.date.accessioned2011-05-24-
dc.date.accessioned2011-06-28T13:56:39Z-
dc.date.available2011-06-28T13:56:39Z-
dc.date.issued2010-
dc.identifier.urihttp://hdl.handle.net/10419/46157-
dc.description.abstractThe focus on employer-provided health insurance in the United States may restrict business creation. We address the limited research on the topic of entrepreneurship lock by using recent panel data from matched Current Population Surveys. We use difference-indifference models to estimate the interaction between having a spouse with employer-based health insurance and potential demand for health care. We find evidence of a larger negative effect of health insurance demand on business creation for those without spousal coverage than for those with spousal coverage. We also take a new approach in the literature to examine the question of whether employer-based health insurance discourages business creation by exploiting the discontinuity created at age 65 through the qualification for Medicare. Using a novel procedure of identifying age in months from matched monthly CPS data, we compare the probability of business ownership among male workers in the months just before turning age 65 and in the months just after turning age 65. We find that business ownership rates increase from just under age 65 to just over age 65, whereas we find no change in business ownership rates from just before to just after for other ages 55-75. We also do not find evidence from the previous literature and additional estimates that other confounding factors such as retirement, partial retirement, social security and pension eligibility are responsible for the increase in business ownership in the month individuals turn 65. Our estimates provide some evidence that entrepreneurship lock exists, which raises concerns that the bundling of health insurance and employment may create an inefficient level of business creation.en
dc.language.isoengen
dc.publisher|aInstitute for the Study of Labor (IZA) |cBonnen
dc.relation.ispartofseries|aIZA Discussion Papers |x5203en
dc.subject.jelL26en
dc.subject.jelI1en
dc.subject.ddc330en
dc.subject.keywordentrepreneurshipen
dc.subject.keywordhealth insuranceen
dc.subject.keywordmedicareen
dc.subject.keywordjob locken
dc.subject.stwUnternehmeren
dc.subject.stwSelbstständigeen
dc.subject.stwUnternehmensgründungen
dc.subject.stwBetriebliche Sozialleistungenen
dc.subject.stwPrivate Krankenversicherungen
dc.subject.stwUSAen
dc.titleIs employer-based health insurance a barrier to entrepreneurship?-
dc.typeWorking Paperen
dc.identifier.ppn659489805en
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen

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