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Inactivity Among Prime Age Men in the UK

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  • Giulia Faggio
  • Stephen Nickell

Abstract

Inactivity rates among prime-age men in the UK have risen by at least five times since the early 1970s whereas unemployment rates are much the same. Furthermore, inactivity is strongly concentrated among the unskilled and those suffering from a limiting long-term illness or disability. In our analysis of inactivity rates by region and age group we find that male inactivity responds negatively to variations in the wages of low level occupations and positively to fluctuations in incapacity benefit.

Suggested Citation

  • Giulia Faggio & Stephen Nickell, 2005. "Inactivity Among Prime Age Men in the UK," CEP Discussion Papers dp0673, Centre for Economic Performance, LSE.
    • Handle: RePEc:cep:cepdps:dp0673
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    References listed on IDEAS

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    1. Nickell, Stephen & Layard, Richard, 1999. "Labor market institutions and economic performance," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 46, pages 3029-3084, Elsevier.
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    5. Jonathan Gruber, 2000. "Disability Insurance Benefits and Labor Supply," Journal of Political Economy, University of Chicago Press, vol. 108(6), pages 1162-1183, December.
    6. repec:bla:scandj:v:101:y:1999:i:4:p:533-54 is not listed on IDEAS
    7. Dickens, Richard & Gregg, Paul & Wadsworth, Jonathan, 2000. "New Labour and the Labour Market," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 16(1), pages 95-113, Spring.
    8. Thibaut Desjonqueres & Stephen Machin & John Van Reenen, 1999. "Another Nail in the Coffin? Or Can the Trade Based Explanation of Changing Skill Structures Be Resurrected?," Scandinavian Journal of Economics, Wiley Blackwell, vol. 101(4), pages 533-554, December.
    9. Giulia Faggio & Stephen Nickell, 2003. "The Rise in Inactivity Among Adult Men," Palgrave Macmillan Books, in: Richard Dickens & Paul Gregg & Jonathan Wadsworth (ed.), The Labour Market Under New Labour, chapter 3, pages 40-52, Palgrave Macmillan.
    10. Nickell, Stephen & Bell, Brian, 1995. "The Collapse in Demand for the Unskilled and Unemployment across the OECD," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 11(1), pages 40-62, Spring.
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    Cited by:

    1. Silvia Fedeli & Vitantonio Mariella & Marco Onofri, 2018. "Determinants of Joblessness During the Economic Crisis: Impact of Criminality in the Italian Labour Market," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 139(2), pages 559-588, September.
    2. Duncan McVicar, 2008. "Why Have Uk Disability Benefit Rolls Grown So Much?," Journal of Economic Surveys, Wiley Blackwell, vol. 22(1), pages 114-139, February.
    3. Christine Erhel & Mathilde Guergoat-Larivière, 2010. "La mobilité de la main-d'œuvre en Europe : le rôle des caractéristiques individuelles et de l'hétérogénéité entre pays," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-00616797, HAL.
    4. Christine Erhel & Mathilde Guergoat-Larivière, 2010. "La mobilité de la main-d'œuvre en Europe : le rôle des caractéristiques individuelles et de l'hétérogénéité entre pays," Post-Print hal-00616797, HAL.
    5. Bruno Amable & Lilas Demmou & Donatella Gatti, 2006. "Institutions, unemployment and inactivity in the OECD countries," Working Papers halshs-00590495, HAL.
    6. Lucie Schmidt, 2012. "The Supplemental Security Income Program and welfare reform," Public Policy Discussion Paper 12-3, Federal Reserve Bank of Boston.
    7. J. Shackleton, 2007. "Britain’s Labor Market Under the Blair Governments," Journal of Labor Research, Springer, vol. 28(3), pages 454-476, July.
    8. Whittaker, W & Sutton, M, 2010. "Mental health, work incapacity and State transfers: an analysis of the British Household Panel Survey," Health, Econometrics and Data Group (HEDG) Working Papers 10/21, HEDG, c/o Department of Economics, University of York.
    9. J. R. Shackleton, 2005. "The Labour Market Under ‘New Labour’: The First Two Terms," Economic Affairs, Wiley Blackwell, vol. 25(3), pages 31-38, September.

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    More about this item

    Keywords

    inactivity; disability;

    JEL classification:

    • J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General

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