7 - Social Insurance

Question 1

What is social insurance?

Answer 1

Question 2

Why do people value social insurance?

Answer 2

Question 3

Optimal insurance

Answer 3

Question 4

Full insurance is optimal

Answer 4

Question 5

Asymmetric information: adverse selection

Answer 5

Question 6

Market for lemon: market breakdown

Answer 6

Question 7

Partial insurance and screening

Answer 7

Question 8

The scope for social insurance

Answer 8

Question 9

Problem with social insurance

Answer 9

Question 10

The moral hazard effect of insurance

Answer 10

Question 11

The cost of moral hazard

Answer 11

Question 12

Problem of social insurance: two types of classification error

Answer 12

Question 13

Umemployment insurance

Answer 13

Question 14

Graphically show a typical unemployment benefit scheme

Answer 14

Question 15

Evidence of moral hazard in unemployment insurance

Answer 15

Question 16

How can we estimate the effect of unemployment insurance?

Answer 16

Question 17

Unemployment insurance as a natural experiment

Answer 17

Question 18

The identifying assumption of Diff-in-diff

Answer 18

Question 19

UI reforms in the early 1980s - Meyer (1989)

Answer 19

Question 20

Graphically show UI reforms in the early 1980s - Meyer (1989)

Answer 20

Question 21

Non-parallel trend assumption

Answer 21

Question 22

Testing for parallel trend assumption

Answer 22

Question 23

Triple-diff approach

Answer 23