The National Academies Press

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Pages 17-20

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From page 17... ... 17 5 Medical Expenses The current official poverty measure does not directly take into ac-count people's medical expenses. It perhaps indirectly takes theminto account in that the thresholds were originally devised by multiplying food costs by three to account for other needs, which could be said to include medical costs, among other things. Read the entire page →
From page 18... ... 18 EXPERIMENTAL POVERTY MEASURES expenses to families in the CPS. The technique of assigning medical out-ofpocket expenses to families in the CPS was based on a regression model designed to replicate the full distribution of actual expenses from the 1987 National Medical Expenditure Survey and then inflating the aggregated level of out-of-pocket expenses to equal benchmarks from the National Health Accounts administrative data. Read the entire page →
From page 19... ... MEDICAL EXPENSES 19 replicate actual expenditures might (though not necessarily) favor not making such adjustment for the uninsured. Read the entire page →
From page 20... ... 20 EXPERIMENTAL POVERTY MEASURES may indeed occur, but Richard Bavier (Office of Management and Budget) pointed out that erroneous poverty classifications resulting from this method were rather modest and the same error also applies to accounting for the cost of housing in the thresholds. Read the entire page →

From page 17...

... 17 5 Medical Expenses The current official poverty measure does not directly take into ac-count people's medical expenses. It perhaps indirectly takes theminto account in that the thresholds were originally devised by multiplying food costs by three to account for other needs, which could be said to include medical costs, among other things.

Read the entire page →

From page 18...

... 18 EXPERIMENTAL POVERTY MEASURES expenses to families in the CPS. The technique of assigning medical out-ofpocket expenses to families in the CPS was based on a regression model designed to replicate the full distribution of actual expenses from the 1987 National Medical Expenditure Survey and then inflating the aggregated level of out-of-pocket expenses to equal benchmarks from the National Health Accounts administrative data.

Read the entire page →

From page 19...

... MEDICAL EXPENSES 19 replicate actual expenditures might (though not necessarily) favor not making such adjustment for the uninsured.

Read the entire page →

From page 20...

... 20 EXPERIMENTAL POVERTY MEASURES may indeed occur, but Richard Bavier (Office of Management and Budget) pointed out that erroneous poverty classifications resulting from this method were rather modest and the same error also applies to accounting for the cost of housing in the thresholds.

Read the entire page →

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