Abstract
The individual mandate of the Affordable Care Act (ACA) coupled with the Medicaid expansion in Kentucky makes reducing Medicaid eligibility rates of crucial importance. This brief examines the link between education and eligibility for Medicaid for the citizens of Kentucky. In general, the relationship is nearly mechanical in that higher education leads to higher incomes. Since income is the key determining factor of Medicaid eligibility, and because of the individual mandate eligibility is mostly equivalent to participation, our estimates show that higher education reduces the likelihood that an adult will be on Medicaid or have children and family members on Medicaid. Our results suggest that the state of Kentucky could reduce Medicaid costs by $27 million if we were to increase our education levels modestly and as much as $200 million if we can achieve education levels comparable to the U.S.
Document Type
Brief
Publication Date
10-2015
Repository Citation
Bollinger, Christopher R., "Impact of Education on Medicaid Eligibility" (2015). Issue Brief on Topics Affecting Kentucky’s Economy. 15.
https://uknowledge.uky.edu/cber_issuebriefs/15
Notes/Citation Information
This research was funded by the Council on Postsecondary Education (CPE) to study the relationship between education and outcomes such as income, employment levels, health, public assistance use, and crime.