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The Affordable Care Act: Improving Incentives for Entrepreneurship and Self-Employment

Linda J. Blumberg, Sabrina Corlette, Kevin Lucia
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Document date: May 31, 2013
Released online: May 31, 2013

Abstract

Research evidence of pre-reform job lock and empirical research demonstrating a significant increase in self-employment under health care reforms or availability of Medicare benefits, strongly suggests that self-employment will increase as a consequence of full implementation of the Affordable Care Act (ACA).  Taking into account the most recent findings in the economic literature on this topic, we make a rough estimate that the number of self-employed people will be 1.5 million higher under the ACA than it would otherwise have been.  Relative increases in self-employment will vary across states as a function of pre-ACA market reforms already in place. 

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Topics/Tags: | Employment | Health/Healthcare


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