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Understanding the dynamic of government expenditures for disability and other social benefits: evidence from a Lotka–Volterra model for the Netherlands

Author

Listed:
  • Chiara Natalie Focacci

    (LENTIC, HEC Liège)

  • Peter Mascini

    (Erasmus University Rotterdam)

  • Romke Veen

    (Erasmus University Rotterdam)

Abstract

In the Netherlands, access to disability insurance has become gradually more limited and demanding. The same holds for sheltered work. This puts disabled workers, and especially those with no working history, in disadvantaged competition with the non-disabled segment of the working population. In this study, we employ a Lotka–Volterra competition model based on differential equations to investigate how government expenditures for disability and other social benefits interacted in the period between 2010 and 2018. We contribute to the literature by showing that public expenditure for disability is not autonomous and that its competitive power in the social protection ecosystem changes both in type and over time. Our findings suggest that government expenditure for disability benefits in the Netherlands behaved both as prey in favour and predator at the cost of social exclusion and unemployment benefits. Reforms that took place in the ecosystem of interest are used to interpret such behaviour.

Suggested Citation

  • Chiara Natalie Focacci & Peter Mascini & Romke Veen, 2024. "Understanding the dynamic of government expenditures for disability and other social benefits: evidence from a Lotka–Volterra model for the Netherlands," Quality & Quantity: International Journal of Methodology, Springer, vol. 58(4), pages 3403-3415, August.
    • Handle: RePEc:spr:qualqt:v:58:y:2024:i:4:d:10.1007_s11135-023-01799-1
    DOI: 10.1007/s11135-023-01799-1
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    More about this item

    Keywords

    Differential equations; Disability; Government expenditure; Lotka–Volterra; Netherlands; Public policy;
    All these keywords.

    JEL classification:

    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General
    • J14 - Labor and Demographic Economics - - Demographic Economics - - - Economics of the Elderly; Economics of the Handicapped; Non-Labor Market Discrimination
    • J48 - Labor and Demographic Economics - - Particular Labor Markets - - - Particular Labor Markets; Public Policy

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