() and Peter Skogman Thoursie
Martin Olsson: Dept. of Economics, Stockholm University, Postal: Department of Economics, Stockholm University, S-106 91 Stockholm, Sweden
Peter Skogman Thoursie: Dept. of Economics, Stockholm University, Postal: Department of Economics, Stockholm University, S-106 91 Stockholm, Sweden
Abstract: We use a Swedish sickness insurance reform to show that among married couples a partner’s benefit level affects spousal labour supply. The spousal elasticity of sick days with respect to the partner’s benefit is estimated to be 0.4, which is about one-fourth of the own labor supply elasticity. It is argued the main part of this effect is an insurance income effect.
7 pages, December 9, 2010
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