Health Insurance Availability and Entrepreneurship
Vol. Volume 18, Number 4 December/2013
Raj Aggarwal, Krisztina Holly, Vivek Wadhwa
Unlike prior studies of the impact of health insurance on entrepreneurship, this paper uses primary data from a representative recent survey of entrepreneurs. First, we report the characteristics and socio-economic backgrounds of entrepreneurs. Second, we document that the lack of health insurance has a significant inhibiting impact on entrepreneurs. This paper also documents that the importance of health insurance availability increases for entrepreneurs that are self-funded, married, have children, are from less privileged backgrounds, and are in advanced stages of their lives as indicated by having advanced degrees or long work experience when they become entrepreneurs. These results should be of much interest to scholars, managers, and policy-makers.