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State Medicaid Expansions and Mortality, Revisited: A Cost-Benefit Analysis

2017/05/11 by Benjamin D. Sommers · 1 citation
Economics, Econometrics and Finance · Health Professions · #Healthcare Policy and Management #Global Health Care Issues #Primary Care and Health Outcomes

paper · doi:10.1162/ajhe_a_00080

openalex publication_date 2017/05/11 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/17

Abstract

Previous research found that Medicaid expansions in New York, Arizona, and Maine in the early 2000s reduced mortality. I revisit this question with improved data and methods, exploring distinct causes of death and presenting a cost-benefit analysis. Differences-in-differences analysis using a propensity score control group shows that all-cause mortality declined by 6 percent, with the most robust reductions for health-care amenable causes. HIV-related mortality (affected by the recent introduction of antiretrovirals) accounted for 20 percent of the effect. Mortality changes were closely linked to county-level coverage gains, with one life saved annually for every 239 to 316 adults gaining insurance. The results imply a cost per life saved ranging from 327,000 to 867,000 which compares favorably with most estimates of the value of a statistical life.

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