The Medicare Eligibility Gap

Abstract: I exploit the age-based eligibility structure of Medicare and the age gap between spouses to examine the impact of Medicare eligibility of an older spouse on the insurance coverage, health care use, and labor market participation of younger, Medicare-ineligible spouses. Using a regression discontinuity framework, I find that Medicare eligibility of an older wife increases the likelihood that a Medicare-ineligible husband is uninsured. Spousal Medicare eligibility also has large impacts on the source of coverage for privately-insured, Medicare-ineligible spouses, but has no effect on the health care use or labor market participation of ineligible spouses