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Using panel data from the China Health and Nutrition Survey, this study estimates the effect of the New Cooperative Medical Scheme (NCMS) on self-employment in rural China, based on a difference-in-differences method (combined with propensity score matching). Specifically, we compare employment status of the participants and non-participants groups before and after the NCMS was implemented (within the common-support region). We found that the NCMS increased a rural resident’s likelihood of shifting from working for others to self-employed by 38 percentage points and that of shifting from temporarily employed to self-employed by 23 percentage points. These results suggest that apart from reducing uncertainty in future spending for the insured due to catastrophic illness, universal health insurance could also have a positive effect on the labor market, namely, that of increasing rates of self-employment.
Baozhong Su; Gatwaza Hategekimana Thierry; Qihui Chen; Qiran Zhao. The New Cooperative Medical Scheme and Self-Employment in Rural China. Sustainability 2017, 9, 304 .
AMA StyleBaozhong Su, Gatwaza Hategekimana Thierry, Qihui Chen, Qiran Zhao. The New Cooperative Medical Scheme and Self-Employment in Rural China. Sustainability. 2017; 9 (2):304.
Chicago/Turabian StyleBaozhong Su; Gatwaza Hategekimana Thierry; Qihui Chen; Qiran Zhao. 2017. "The New Cooperative Medical Scheme and Self-Employment in Rural China." Sustainability 9, no. 2: 304.