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The welfare implications of disability for older people in Ireland

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  • John Cullinan
  • Brenda Gannon
  • Eamon O’Shea

Abstract

Recent data analysed for Ireland suggest a strong link between disability status and household poverty, while there exists substantial evidence to suggest that disability is highly prevalent among persons of older age. Within this context, this paper estimates the welfare implications of disability for older people in Ireland. We define and estimate models of the private costs borne by households with older persons who have a disability in Ireland, both in general and by severity of illness or condition. Our modelling framework is based on the standard of living approach to estimating the cost of disability. The model quantifies the extra costs of living associated with disability and is estimated by comparing the standard of living of households with and without disabled members at a given income, controlling for other sources of variation. The analysis suggests that the estimated economic cost of disability for older people in Ireland is significant and varies by severity of disability, as well as by household type. The results also suggest that the cost of disability increases in proportionate terms as the number of people in the household decreases. Our results are important when considering the effectiveness of policies that aim to address the economic problems associated with disability for older people, suggesting that current policy in Ireland does not go far enough. They indicate that older people face a double jeopardy through age and disability, which is not reflected in official poverty rates and support the case for the introduction of disability-adjusted poverty payments. Copyright Springer-Verlag 2013

Suggested Citation

  • John Cullinan & Brenda Gannon & Eamon O’Shea, 2013. "The welfare implications of disability for older people in Ireland," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 14(2), pages 171-183, April.
    • Handle: RePEc:spr:eujhec:v:14:y:2013:i:2:p:171-183
    DOI: 10.1007/s10198-011-0357-4
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    References listed on IDEAS

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    9. J. Cullinan & B. Gannon & S. Lyons, 2011. "Estimating the extra cost of living for people with disabilities," Health Economics, John Wiley & Sons, Ltd., vol. 20(5), pages 582-599, May.
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    2. Roddy, Áine, 2022. "Income and conversion handicaps: estimating the impact of child chronic illness/disability on family income and the extra cost of child chronic illness/child disability in Ireland using a standard of ," LSE Research Online Documents on Economics 111833, London School of Economics and Political Science, LSE Library.
    3. Derek Asuman & Charles Godfred Ackah & Frank Agyire-Tettey, 2021. "Disability and Household Welfare in Ghana: Costs and Correlates," Journal of Family and Economic Issues, Springer, vol. 42(4), pages 633-649, December.
    4. Privalko, Ivan & Maître, Bertrand & Watson, Dorothy & Grotti, Raffaele, 2019. "Access to childcare and home care services across Europe: an analysis of the Survey on Income and Living Conditions (SILC), 2016," Research Series, Economic and Social Research Institute (ESRI), number BKMNEXT383.
    5. John Cullinan & Margaret Hodgins & Victoria Hogan & Michael McDermott & Sharon Walsh, 2019. "Bullying and Work-Related Stress in the Irish Workplace," Societies, MDPI, vol. 9(1), pages 1-22, February.
    6. Michael Palmer & Jenny Williams & Barbara McPake, 2019. "Standard of Living and Disability in Cambodia," Journal of Development Studies, Taylor & Francis Journals, vol. 55(11), pages 2382-2402, November.
    7. Maëlenn M Guerchet & Mariella Guerra & Yueqin Huang & Peter Lloyd-Sherlock & Ana Luisa Sosa & Richard Uwakwe & Isaac Acosta & Peter Ezeah & Sara Gallardo & Zhaorui Liu & Rosie Mayston & Veronica Monte, 2018. "A cohort study of the effects of older adult care dependence upon household economic functioning, in Peru, Mexico and China," PLOS ONE, Public Library of Science, vol. 13(4), pages 1-19, April.
    8. Áine Roddy, 2022. "Income and conversion handicaps: estimating the impact of child chronic illness/disability on family income and the extra cost of child chronic illness/child disability in Ireland using a standard of ," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 23(3), pages 467-483, April.
    9. Egemen İpek, 2020. "The Costs of Disability in Turkey," Journal of Family and Economic Issues, Springer, vol. 41(2), pages 229-237, June.
    10. Ullmann, Heidi & Cecchini, Simone & Atuesta, Bernardo & Rubio García, Mónica, 2021. "Non-contributory cash transfers: An instrument to promote the rights and well-being of children with disabilities in Latin America and the Caribbean," Documentos de Proyectos 46747, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    11. Prashant Loyalka & Lan Liu & Gong Chen & Xiaoying Zheng, 2014. "The Cost of Disability in China," Demography, Springer;Population Association of America (PAA), vol. 51(1), pages 97-118, February.
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    13. Xanthe Hunt & Ashrita Saran & Lena Morgon Banks & Howard White & Hannah Kuper, 2022. "Effectiveness of interventions for improving livelihood outcomes for people with disabilities in low‐ and middle‐income countries: A systematic review," Campbell Systematic Reviews, John Wiley & Sons, vol. 18(3), September.
    14. Howley, P., 2016. "Valuing the benefits from health care interventions using life satisfaction data," Health, Econometrics and Data Group (HEDG) Working Papers 16/01, HEDG, c/o Department of Economics, University of York.
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    More about this item

    Keywords

    Disability; Standard of living; Older people; Severity of disability; Poverty; Ireland; J14; I31;
    All these keywords.

    JEL classification:

    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being

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