The issue considered in this study is whether objective, official reports on disability status are reliable. While there is a rather large literature on the reliability of self-reported disability, evidence regarding objective data is scant. It seems to be a widely held view among researchers that, since individuals out of work are inclined to respond towards poor health, it would be best to have official data provided by the relevant administrative bodies. But we argue that such administrative data should be regarded with some suspicion, since the administrators also may have incentives to misreport. The empirical evidence, based on a large sample of Swedish jobseekers, suggests systematic misreporting by the Public Employment Service of objective, official disability measures due to incentives to exaggerate disability.
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Paper provided by Research Institute of Industrial Economics in its series Working Paper Series with number
643.
Length: 45 pages Date of creation: 16 May 2005 Date of revision: Handle: RePEc:hhs:iuiwop:0643
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Find related papers by JEL classification: I12 - Health, Education, and Welfare - - Health - - - Health Production J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy J68 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Public Policy
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