Impacts of Affordable Care Act 2014 Medicaid Expansion on Childless adults: Early Effect.

Abstract

Since the Affordable Care Act was enacted and implemented in March 23, 2010 and in September 23, 2010, respectively, its impacts on insurance coverage and labor supply has been widely investigated. In this paper, I used Difference-in-Difference method and Difference-in- Difference-in-Difference method to analyze the unintended effects of Medicaid expansion on labor supply of treated group in the U.S. along with Affordable Care Act implementation. The treated group means people who become eligible for Medicaid after ACA 2014 expansion. I have analyzed the effects by dividing the population into two groups depending on dependent child existence status. In both \with child" and \without child(childless)" group, treated individuals reduced their labor supply signicantly. The tendency of decrease in labor supply seems more evident in \with child" group than \childless group". Yet, the difference between the two groups is not significantly different from each other.