Search, Acute Illness, and Absenteeism
Pyoungsik Kim
What the paper says
This paper examines the economic costs of absenteeism from acute illness, which reduces labor market participation and burdens workers and firms. I extend a search, matching, and bargaining framework to incorporate medical care use, illness dynamics, health capital, and employer-sponsored health insurance (ESHI). Using data from the Medical Expenditure Panel Survey (MEPS), I estimate the model and find that acute illness lowers productivity, raises medical expenditures, and reduces welfare. Counterfactual analyses show subsidizing health capital improves total welfare. Moreover, while both a universal ESHI mandate and a penaltybased policy expand coverage, the penalty-based approach yields greater welfare gains.
Evidence weight
Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40
| F · citation impact | 0.50 × 0.4 = 0.20 |
| M · momentum | 0.50 × 0.15 = 0.07 |
| V · venue signal | 0.50 × 0.05 = 0.03 |
| R · text relevance † | 0.50 × 0.4 = 0.20 |
† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.