Abstract

While the relationships between health insurance and the labour supply of women have been explored in the literature, little is known about the effects of offering public health insurance on the labour supply decisions of married women. This article examines the labour supply decisions of married women using the State Children's Health Insurance Programme. Our empirical analysis implies that certain groups of married women may be leaving the labour force in order to provide public health insurance for their children. We conclude that the programme causes unexpected efficiency losses through distorted labour supply decisions.

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