IDEAS home Printed from https://ideas.repec.org/p/esi/discus/2004-08.html
   My bibliography  Save this paper

A Monetary Approach to Capability Measurement of the Disabled - Evidence from the UK

Author

Listed:
  • Wiebke Kuklys

Abstract

In this paper we attempt to assess empirically the capability set of the disabled. We formulate the assumptions under which capability can be interpreted as needs-adjusted disposable household income, and use equivalence scales methodology to estimate it for households in the UK. We identify a positive cost of disability to the households and state, to what extent a disability can reduce an individual's capability set. The use of the derived capability measure instead of traditional income in poverty measures leads to a dramatic increase of poverty among the families with disabled members.

Suggested Citation

  • Wiebke Kuklys, 2004. "A Monetary Approach to Capability Measurement of the Disabled - Evidence from the UK," Papers on Strategic Interaction 2004-08, Max Planck Institute of Economics, Strategic Interaction Group.
    • Handle: RePEc:esi:discus:2004-08
    as

    Download full text from publisher

    File URL: ftp://papers.econ.mpg.de/esi/discussionpapers/2004-08.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Manski, Charles F., 1992. "Identification Problems In The Social Sciences," SSRI Workshop Series 292716, University of Wisconsin-Madison, Social Systems Research Institute.
    2. Burchardt, Tania & Le Grand, Julian, 2002. "Constraint and opportunity: identifying voluntary non-employment," LSE Research Online Documents on Economics 4650, London School of Economics and Political Science, LSE Library.
    3. Blackorby, Charles & Bossert, Walter, 2004. "Interpersonal comparisons of well-being," Economic Research Papers 269605, University of Warwick - Department of Economics.
    4. Alkire, Sabina, 2005. "Valuing Freedoms: Sen's Capability Approach and Poverty Reduction," OUP Catalogue, Oxford University Press, number 9780199283316.
    5. Coulter, Fiona A E & Cowell, Frank A & Jenkins, Stephen P, 1992. "Differences in Needs and Assessment of Income Distributions," Bulletin of Economic Research, Wiley Blackwell, vol. 44(2), pages 77-124, April.
    6. Zaidi, Asghar & Burchardt, Tania, 2003. "Comparing incomes when needs differ: equivalisation for the extra costs of disability in the UK," LSE Research Online Documents on Economics 6373, London School of Economics and Political Science, LSE Library.
    7. Burchardt, Tania & Le Grand, Julian, 2002. "Constraint and opportunity: identifying voluntary non-employment," LSE Research Online Documents on Economics 51317, London School of Economics and Political Science, LSE Library.
    8. Bellemare, C. & Melenberg, B. & van Soest, A.H.O., 2002. "Semi-parametric Models for Satisfaction with Income," Other publications TiSEM a7ab8987-444a-4ab0-b566-c, Tilburg University, School of Economics and Management.
    9. repec:ebl:ecbull:v:4:y:2002:i:9:p:1-7 is not listed on IDEAS
    10. Tania Burchardt & Asghar Zaidi, 2003. "Comparing incomes when needs differ: Equivalisation for the extra costs of disability in the UK," CASE Papers case64, Centre for Analysis of Social Exclusion, LSE.
    11. Jones, Andrew & O'Donnell, Owen, 1995. "Equivalence scales and the costs of disability," Journal of Public Economics, Elsevier, vol. 56(2), pages 273-289, February.
    12. Pollak, Robert A & Wales, Terence J, 1979. "Welfare Comparisons and Equivalence Scales," American Economic Review, American Economic Association, vol. 69(2), pages 216-221, May.
    13. Van Praag, Bernard, 1971. "The welfare function of income in Belgium: An empirical investigation," European Economic Review, Elsevier, vol. 11(3), pages 337-369.
    14. repec:bla:revinw:v:28:y:1982:i:3:p:345-59 is not listed on IDEAS
    15. Tania Burchardt & Julian Le Grand, 2002. "Constraint and Opportunity: Identifying Voluntary Non-Employment," CASE Papers case55, Centre for Analysis of Social Exclusion, LSE.
    16. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74(2), pages 132-132.
    17. Tania Burchardt & Asghar Zaidi, 2003. "Comparing incomes when needs differ: Equivalisation for the extra costs of disability in the UK," CASE Papers 064, Centre for Analysis of Social Exclusion, LSE.
    18. Melenberg, B. & van Soest, A.H.O., 1996. "Measuring the costs of children : Parametric and semiparametric estimators," Other publications TiSEM 1227b8b2-0575-4b5d-9bac-7, Tilburg University, School of Economics and Management.
    19. W. M. Gorman, 1980. "A Possible Procedure for Analysing Quality Differentials in the Egg Market," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 47(5), pages 843-856.
    20. Atkinson, Anthony B., 1970. "On the measurement of inequality," Journal of Economic Theory, Elsevier, vol. 2(3), pages 244-263, September.
    21. Federico Perali, 2002. "Some curiosites about the Engel method to estimate equivalence scales," Economics Bulletin, AccessEcon, vol. 4(9), pages 1-7.
    22. Asghar Zaidi & Tania Burchardt, 2005. "Comparing Incomes When Needs Differ: Equivalization For The Extra Costs Of Disability In The U.K," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 51(1), pages 89-114, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. D.P. Doessel & Ruth F.G. Williams, 2011. "Disabled people's living standards: filling a policy vacuum," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 38(4), pages 341-357, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kuklys, W. & Robeyns, I., 2004. "Sen’s Capability Approach to Welfare Economics," Cambridge Working Papers in Economics 0415, Faculty of Economics, University of Cambridge.
    2. Wiebke Kuklys & Ingrid Robeyns, 2004. "Sens's Capability Approach to Welfare Economics," Papers on Strategic Interaction 2004-03, Max Planck Institute of Economics, Strategic Interaction Group.
    3. Wiebke Kuklys, 2004. "Measuring Standard of Living in the UK - An Application of Sen's Functioning Approach Using Structural Equation Models," Papers on Strategic Interaction 2004-11, Max Planck Institute of Economics, Strategic Interaction Group.
    4. Daniel Gottlieb & Alexander Fruman, 2011. "A quality-index of poverty measures," Working Papers 239, ECINEQ, Society for the Study of Economic Inequality.
    5. Christos Koutsampelas & Panos Tsakloglou, 2013. "The distribution of full income in Greece," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 40(4), pages 311-330, March.
    6. Tania Burchardt, 2003. "Being and becoming: Social exclusion and the onset of disability," CASE Reports casereport21, Centre for Analysis of Social Exclusion, LSE.
    7. Paul Anand, 2005. "Introduction," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 74(1), pages 1-8, October.
    8. Alin Halimatussadiah & Chaikal Nuryakin & Pyan A. Muchtar & Adriana Bella & Husnul Rizal, 2017. "Mapping Persons With Disabilities (PWDs) In Indonesia Labor Market," Economics and Finance in Indonesia, Faculty of Economics and Business, University of Indonesia, vol. 63, pages 126-149, December.
    9. Melanie Borah & Carina Keldenich & Andreas Knabe, 2019. "Reference Income Effects in the Determination of Equivalence Scales Using Income Satisfaction Data," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 65(4), pages 736-770, December.
    10. Parodi, Giuliana & Sciulli, Dario, 2012. "Disability and Social Exclusion Dynamics in Italian Households," MPRA Paper 42445, University Library of Munich, Germany.
    11. Greco, Giulia & Skordis-Worrall, Jolene & Mkandawire, Bryan & Mills, Anne, 2015. "What is a good life? Selecting capabilities to assess women's quality of life in rural Malawi," Social Science & Medicine, Elsevier, vol. 130(C), pages 69-78.
    12. Pudney, Stephen & Hancock, Ruth & Morciano, Marcello, 2012. "Disability costs and equivalence scales in the older population," ISER Working Paper Series 2012-09, Institute for Social and Economic Research.
    13. Shawn Fremstad, 2010. "A Modern Framework for Measuring Poverty and Basic Economic Security," CEPR Reports and Issue Briefs 2010-12, Center for Economic and Policy Research (CEPR).
    14. Ali, Zulfiqar, 2014. "Economic Costs of Disability in Bangladesh," Bangladesh Development Studies, Bangladesh Institute of Development Studies (BIDS), vol. 37(04), pages 17-33, December.
    15. Rod Hick, 2016. "Between Income and Material Deprivation in the UK: In Search of Conversion Factors," Journal of Human Development and Capabilities, Taylor & Francis Journals, vol. 17(1), pages 35-54, February.
    16. Giuliana Parodi & Dario Sciulli, 2012. "Disability and low income persistence in Italian households," International Journal of Manpower, Emerald Group Publishing Limited, vol. 33(1), pages 9-26, March.
    17. Rolf Aaberge & Audun Langørgen & Petter Lindgren, 2013. "The distributional impact of public services in," Discussion Papers 746, Statistics Norway, Research Department.
    18. Wilkinson-Meyers, Laura & Brown, Paul & McNeill, Robert & Patston, Philip & Dylan, Sacha & Baker, Ronelle, 2010. "Estimating the additional cost of disability: Beyond budget standards," Social Science & Medicine, Elsevier, vol. 71(10), pages 1882-1889, November.
    19. Melanie Borah & Andreas Knabe & Kevin Pahlke, 2021. "Parental time restrictions and the cost of children: insights from a survey among mothers," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 19(1), pages 73-95, March.
    20. Mark B. Stewart, 2009. "The Estimation Of Pensioner Equivalence Scales Using Subjective Data," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 55(4), pages 907-929, December.

    More about this item

    Keywords

    capability; disability; equivalence scale; psychometric; poverty;
    All these keywords.

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:esi:discus:2004-08. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Karin Richter (email available below). General contact details of provider: https://edirc.repec.org/data/mpiewde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.