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Project Citation: 

Kuziemko, Ilyana, Meckel, Katherine, and Rossin-Slater, Maya. Replication data for: Does Managed Care Widen Infant Health Disparities? Evidence from Texas Medicaid. Nashville, TN: American Economic Association [publisher], 2018. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-13. https://doi.org/10.3886/E114651V1

Project Description

Summary:  View help for Summary Medicaid programs increasingly finance competing, capitated managed care plans rather than administering fee-for-service (FFS) programs. We study how the transition from FFS to managed care affects high- and low-cost infants (blacks and Hispanics, respectively). We find that black-Hispanic disparities widen—e.g., black mortality and preterm birth rates increase by 15 percent and 7 percent, respectively, while Hispanic mortality and preterm birth rates decrease by 22 percent and 7 percent, respectively. Our results are consistent with a risk-selection model whereby capitation incentivizes competing plans to offer better (worse) care to low- (high-) cost clients to retain (avoid) them in the future.

Scope of Project

JEL Classification:  View help for JEL Classification
      H75 State and Local Government: Health; Education; Welfare; Public Pensions
      I12 Health Behavior
      I18 Health: Government Policy; Regulation; Public Health
      I38 Welfare, Well-Being, and Poverty: Government Programs; Provision and Effects of Welfare Programs
      J13 Fertility; Family Planning; Child Care; Children; Youth
      J15 Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination


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