Proportional treatment effects for count response panel data: Effects of binary exercise on health care demand

Myoung Jae Lee, Satoru Kobayashi

Research output: Contribution to journalArticle

13 Citations (Scopus)

Abstract

We define conditional and marginal treatment effects appropriate for count data, and then conduct an empirical analysis for the effects of exercise on health care demand using panel data from the Health Retirement Study. The response variables are office visits to doctors and hospitalization days, and the treatments of interest are light and vigorous exercises. We found that short-run light exercise increases health care demand by 3-5%, whereas long-run light exercise decreases it by 3-6%. We also found that short-run vigorous exercise decreases health care demand by 1-2%, whereas long-run vigorous exercise decreases it by 1-3%. However, many of these numbers are not statistically significantly different from zero. These findings suggest that it will be difficult to reduce health care cost much by encouraging people to do more exercise-at least in the short-run.

Original languageEnglish
Pages (from-to)411-428
Number of pages18
JournalHealth Economics
Volume10
Issue number5
DOIs
Publication statusPublished - 2001
Externally publishedYes

Keywords

  • Count response
  • Exercise
  • Health care demand
  • Panel data
  • Treatment effect

ASJC Scopus subject areas

  • Health Policy

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