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Applications to the US Disability Program: A Semiparametric Approach

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Author Info
Kreider, Brent
Riphahn, Regina

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Abstract

This study investigates the determinants of applications for US disability benefits between 1986 and 1993 using a semiparametric discrete factor procedure. Approximating a dynamic optimization model, the estimation carefully accounts for a variety of potential biases that weren’t addressed in previous studies. Our results indicate vast differences in the responses of men and women to variations in policy measures. Past labour earnings and fringe benefits as well as benefit eligibility and benefit amounts clearly affect application behaviour.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 1559.

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Date of creation: Jan 1997
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Handle: RePEc:cpr:ceprdp:1559

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Related research
Keywords: Disability System; Discrete Factor Approximation; Retirement Behaviour; Social Security;

Find related papers by JEL classification:
H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies

Cited by:
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  1. Duncan McVicar, 2006. "Why do disability benefit rolls vary between regions? A review of the evidence from the USA and the UK," Regional Studies, Taylor and Francis Journals, vol. 40(5), pages 519-533, July. [Downloadable!] (restricted)
  2. Hugo Benitez-Silva & Moshe Buchinsky & Hiu-Man Chan & John Rust & Sofia Sheivasser, 1997. "An Empirical Analysis of the Social Security Disability Application, Appeal, and Award Process," Public Economics 9712001, EconWPA, revised 16 Feb 1998. [Downloadable!]
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