Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/295920 
Year of Publication: 
2024
Series/Report no.: 
IZA Discussion Papers No. 16897
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
We examine the effects of patient cost-sharing on adolescents' healthcare utilization and out-of-pocket medical expenditures by exploiting the healthcare reform in South Korea that lowered the coinsurance rate for inpatient care from 20% to 5% for children under 16. We apply a difference-in-regression-discontinuities design using administrative claims data. We find that the reform increased adolescents' inpatient care utilization. It also reduced out-of-pocket healthcare expenditures. This effect was larger among low-income households, facilitating income redistribution. However, the lack of evidence on health improvements and household consumption spending responses suggests that generous patient cost-sharing for adolescent healthcare may cause efficiency losses.
Subjects: 
patient cost-sharing
healthcare utilization
out-of-pocket expenditure
income redistribution
consumption spending
difference in regression discontinuities design
JEL: 
I12
I13
I18
Document Type: 
Working Paper

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