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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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    References listed on IDEAS

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    1. Lieske van der Torre & Menno Fenger, 2014. "Policy innovations for including disabled people in the labour market: A study of innovative practices of Dutch sheltered work companies," International Social Security Review, John Wiley & Sons, vol. 67(2), pages 67-84, April.
    2. Koning, Pierre & van Sonsbeek, Jan-Maarten, 2017. "Making disability work? The effects of financial incentives on partially disabled workers," Labour Economics, Elsevier, vol. 47(C), pages 202-215.
    3. Jan-Maarten van Sonsbeek & Raymond H. J. M. Gradus, 2013. "Estimating the effects of recent disability reforms in the Netherlands," Oxford Economic Papers, Oxford University Press, vol. 65(4), pages 832-855, October.
    4. Miralles, Cristobal & Garcia-Sabater, Jose Pedro & Andres, Carlos & Cardos, Manuel, 2007. "Advantages of assembly lines in Sheltered Work Centres for Disabled. A case study," International Journal of Production Economics, Elsevier, vol. 110(1-2), pages 187-197, October.
    5. Goran Dominioni & Alberto Quintavalla & Alessandro Romano, 2020. "Trust spillovers among national and European institutions," European Union Politics, , vol. 21(2), pages 276-293, June.
    6. Chiara Natalie Focacci, 2023. "Old versus young: How much do countries spend on social benefits? Deterministic modeling for government expenditure," Quality & Quantity: International Journal of Methodology, Springer, vol. 57(1), pages 363-377, February.
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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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