TY  - RPRT
        AU  - Lazuka, Volha
        TI  - Household and Individual Economic Responses to Different Health Shocks: The Role of Medical Innovations
        PY  - 2023/Jun/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 16226
        UR  - https://www.iza.org/publications/dp16226
        AB  - This study provides new evidence regarding the extent to which medical care mitigates the economic consequences of various health shocks for the individual and a wider family. To obtain causal effects, I focus on the role of medical scientific discoveries and leverage the longitudinal dimension of unique administrative data for Sweden. The results indicate that medical innovations strongly mitigate the negative economic consequences of a health shock for the individual and create spillovers to relatives. Such mitigating effects are highly heterogeneous across diagnoses that cause health shocks. These results suggest that medical innovations substantially reduce the burden of welfare costs yet produce income inequalities.
        KW  - medical innovation
KW  - health shock
KW  - family disposable income
KW  - income inequality
KW  - difference-in-differences-in-differences approach
KW  - machine learning
        ER  -