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demand elasticity and describes factors that may contribute to variation in elasticity estimates.

Chapters III through V present syntheses of the research literature estimating, respectively, the

price elasticity of demand for health insurance, the price elasticity of demand for covered health

care services, and the income elasticity of demand for health insurance and services. To the

extent possible, each chapter addresses different products separately. With respect to each type

of elasticity, we describe the range of estimates, compare estimates for specific subpopulations,

and identify common methodological challenges in estimating elasticity.

Chapter VI reviews applications of elasticity estimates and summarizes the policy

implications that researchers have drawn. The main methodological challenges identified earlier

are summarized in Chapter VII, as well as approaches that researchers have used to address some

of these challenges. Finally, Chapter VIII identifies remaining gaps in the literature. This

chapter draws from the literature review as well as early discussions with some users of elasticity

estimates who were involved in another part of this project, assessing stakeholder needs.

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