Statistics

Chemistry

Health insurance

Medical insurance

Chromatography

Health care

Economics

Market economy

Sample (material)

Earnings

Economic growth

Finance

Business

Mathematics

Survey data collection

Health and Retirement Study

Social security

Demographic economics

Bankruptcy

Gerontology

Actuarial science

Medicine

American Economic Review

We use an event study approach to examine the economic consequences of hospital admissions for adults in two datasets: survey data from the Health and Retirement Study, and hospitalization data linked to credit reports. For non-elderly adults with health insurance, hospital admissions increase out-of-pocket medical spending, unpaid medical bills, and bankruptcy, and reduce earnings, income, access to credit, and consumer borrowing. The earnings decline is substantial compared to the out-of-pocket spending increase, and is minimally insured prior to age-eligibility for Social Security Retirement Income. Relative to the insured non-elderly, the uninsured non-elderly experience much larger increases in unpaid medical bills and bankruptcy rates following a hospital admission. Hospital admissions trigger fewer than 5 percent of all bankruptcies in our sample.

The Economic Consequences of Hospital Admissions