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Tuesday, May 27, 2014

That one Obamacare provision that helps young people? It's giving them a raise, too

The good Obamacare news just doesn't stop rolling in. A new study [$$$] in the Journal of Health Economics looked at what happens to young people who can stay on their parents' insurance plans while starting their professional lives, and finds far-reaching benefits. Reporting on the study, Business Insider explains the study and its findings.
Thirty-five states had adopted similar provisions previous to Obamacare between 1995-2010, in which people could stay on their parents' plans from age 24 up to 30. They looked at the results for those people.
    The study determined the provision offers young adults more flexibility making both educational and work choices earlier in their lives. This flexibility leads to better employment matches for new workers entering the labor force. It also leads to higher overall wages, according to the study. […]
    Based on the provision's effect in those states and the fact more employers will have to provide coverage nationally under the Affordable Care Act, the study estimates the provision will increase wages by an average of 3.5% to 4.6% for people who were 18 or younger when the health-care overhaul passed.

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